[Q 232] Ruling on Bank Loans for Business

Question

What’s the ruling regarding taking out a bank loan in the UK in order to start a business?

بسم الله الرحمن الرحيم

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Answer

Taking a business loan from the bank is permissible, when there is no interest involved, whereas it is impermissible when the loan requires giving interest. This ruling is according to the general principle. If there is a particular compelling situation then you can describe it and ask again.

Answered by: Arif Raza Madani (Ask Mufti Scholar)

Verified by: Mufti Sajid Attari

Translated by: Aqib Attari