The Ruling on Borrowing with the Condition of Interest

He also says: A young man has a debt. He went to one of the banks and took a loan of ten thousand riyals, on the condition that he would return the amount after one year as twelve thousand riyals. Is this riba (usury or interest), and is there a sin upon him?
Answer: This is riba (usury or interest). If he takes, for example, ten thousand as a loan from the bank on the condition that he returns it as twelve thousand, this is explicit riba (usury or interest). There is no doubt about this among all the scholars. It is riba (usury or interest), and there is no doubt about it, whether it is from a bank or from other than a bank. The scholars have explicitly stated the prohibition of these interest-based profits. Therefore, it is not permissible for anyone to engage in them, neither with a bank nor with other than a bank. To borrow something in order to return more than what was borrowed is never permissible, even if it is just one dirham. However, if he takes a loan without interest and then returns more than what he took, as a voluntary gift and a favor, there is no harm in that, due to the saying of the Prophet (peace and blessings be upon him): So, if he borrows ten thousand from Zayd without a condition of interest, as a favor, and then when he returns it to him, he adds something to it, there is no harm in that, as a favor without a condition. The Prophet (peace and blessings be upon him) used to return better and more excellent when he borrowed. Yes.
The presenter: But what if there is tacit agreement—for example, the lender says, "Give me, for example, or something like that," and does not specify anything?
The Shaykh: Tacit agreement is not permissible. Even if it is not written down, as long as there is tacit agreement, it is not permissible. The increase is not permissible. Rather, he must return exactly what he took, the same amount. This is what is obligatory upon him. Yes.
The presenter: May Allah reward you.