If you borrow a sum of money and after a period the value of the currency drops, how do you repay that amount?
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Question : He says: We passed through al-Zad that if a person borrows money, and the ruler forbids transactions in it, then the ruling is that if the purchasing power of this money drops, so that a thousand of it now equals one hundred of it at the time of the loan, does the borrower repay the debt at its value at the time of the loan or at the time of repayment, in the case where the ruler has not forbidden dealing in it, with an example if possible?
Answer : The scholars (may Allah have mercy on them) say that this is in the ruling of what happens if the ruler forbids dealing in it, and it is the same as the money whether it becomes cheap or worthless, or expensive or increases. Based on this, if he borrowed from him, for example, a thousand pounds equal to a thousand riyals, and then it dropped until the thousand became equal to one hundred riyals, then he has no right to more than a thousand pounds. The lender has no right to more than a thousand pounds. You were told a thousand pounds. A thousand pounds is delivered full. Prepared by the Project of the Senior Scholars of Kuwait, may Allah honor it with tawhid (the oneness of Allah) and the Sunnah.
Answer : The scholars (may Allah have mercy on them) say that this is in the ruling of what happens if the ruler forbids dealing in it, and it is the same as the money whether it becomes cheap or worthless, or expensive or increases. Based on this, if he borrowed from him, for example, a thousand pounds equal to a thousand riyals, and then it dropped until the thousand became equal to one hundred riyals, then he has no right to more than a thousand pounds. The lender has no right to more than a thousand pounds. You were told a thousand pounds. A thousand pounds is delivered full. Prepared by the Project of the Senior Scholars of Kuwait, may Allah honor it with tawhid (the oneness of Allah) and the Sunnah.
Source
قناة «فضيلة الشيخ محمد بن صالح العثيمين»، 198 - 332 إذا اقترضت مبلغ من المال وبعد فترة انخفضت قيمة العملة فكيف أرد ذلك المبلغ؟ ابن عثيمين — youtube.com
The Arabic text is a machine transcription of the audio recording.
