What is the ruling on the prizes that banks give in order to encourage interest?
Machine translationRead the Arabic original
Al-Halabi : A brother asked yesterday, saying: He had deposited his money in some interest-based institutions before Allah the Exalted guided him. These institutions offer prizes on the money. For a period, for example, an iron was given as a prize. After Allah the Exalted guided him, he naturally withdrew his money and everything else. So how should he deal with this iron now, and how?
The Shaykh : This prize is not called by its true name; it is interest.
Al-Halabi : If it were not for the presence of interest, he would not have taken the prize.
The Shaykh : So he is dealing with what he receives from the interest.
Al-Halabi : I did not understand anything.
The Shaykh : He takes it out of it.
The questioner : He takes it out of the iron.
Al-Halabi : I mean the iron.
The Shaykh : He disposes of it.
Al-Halabi : He disposes of it.
The Shaykh : Yes, that is correct.
The questioner : So these are questions from his son, Tahir Tahir.
The Shaykh : This prize is not called by its true name; it is interest.
Al-Halabi : If it were not for the presence of interest, he would not have taken the prize.
The Shaykh : So he is dealing with what he receives from the interest.
Al-Halabi : I did not understand anything.
The Shaykh : He takes it out of it.
The questioner : He takes it out of the iron.
Al-Halabi : I mean the iron.
The Shaykh : He disposes of it.
Al-Halabi : He disposes of it.
The Shaykh : Yes, that is correct.
The questioner : So these are questions from his son, Tahir Tahir.
Source
www.al-albany.com
The Arabic text is copied verbatim from the original source, without any edits.