00:00Riba, oh shaykh I want to buy a house I want to get a mortgage and I saw a video and I was
00:16very scared and now I don't know what to do and no not correct you can get a loan don't worry
00:23inshaAllah. Riba is in its understanding is loan shark and what Prophet ï·º wanted for us to be
00:32aware is loan sharking. Loan shark is that you enter into a relationship you can never get out of
00:40and old loan sharks it was 10% per day for example that you went and borrowed a hundred dollars by
00:47the end of the week you owed a thousand dollars you could never get out of that it was a form of
00:54slavery to enslave somebody into a payment system that they could never leave and in old days they
01:03called the pound of flesh if you didn't pay they came and they would cut you take parts of your body
01:09if you didn't pay the debt and the debt was not excusable in your death that if you died the debt
01:16went to your children and that was completely haram because it was a form of enslaving the nation and
01:25that was what Prophet ï·º warned us from. Now the people who push this idea of Riba they're probably
01:35working for those Riba banks which are Riba banks where they come and they say that okay we'll invest
01:44with you you put half we put half but pay $3,500 a month rent to us so they're just renaming something
01:55of interest and playing some sort of a game that's all same as interest and they're probably taking a
02:03bigger stake than what they should be taking for the investment that they put so that's not the solution
02:10that they only want to magnify a problem and give a false understanding and solution that use our
02:18system in which we're going to take 50% of your property and you're going to end up being paying
02:23the same month same amount that if you compared with your bank mortgage they're just renaming things
02:30and playing tricks with Allah's religion. So again that's that same madhab is putting out that system
02:37and that was like similar to when Bani Israel were told by Allah that do not fish on Shabbat
02:45and they said okay Allah we won't fish on Shabbat they threw their net onto the ocean then they went
02:50and prayed and when they came back the net was filled with fish you know and they said what are you doing
02:58said you weren't supposed to fish on Shabbat he said no we didn't we put the net and it caught what
03:03it caught yeah means they people trying to be clever and and make people to be scared now look at the
03:13modern day banking system that if you go to buy a house and somebody is going to invest 30 years of
03:24time with you and they're going to give you 70% of the purchase price and they're only going to charge
03:32you 2 to 3% you can't find a single family member who would do that who will only take 3% and wait 30
03:42years for you to pay them back that has nothing nothing anything like riba that just sounds like a bad
03:50investment because who's going to sit there for 30 years waiting to get their their money back
03:55the fact that they do that alhamdulillah this is a it's a blessing for a nation that has a system in
04:05which to make wealth for people that's a bizarre way of people say because they've never heard that
04:14that the immensity of the blessings of America and Canada I don't know about Europe I don't think
04:20European banks are in that system they create wealth and opportunity and what they call the
04:27the land of the free their system of how to create wealth for people was based on this that somebody
04:36from nothing could save a little bit of money and become a landowner and their whole lives would
04:43change as a result of that so there was an institution that would come and put 70% of the money 80% of the
04:51money charge a small fee on a monthly basis hope that you pay it and if you don't pay it and file
04:58bankruptcy they lost but at as a result it opened a tremendous opportunity for wealth so imagine if
05:07the Muslim community bought homes and bought properties the strength they would have financial
05:13strength they would have within a community but then shaitan comes and tells them this riba riba riba
05:20so that you bank with those groups or you don't bank at all and you just keep renting an apartment so no
05:26it has nothing to do with loan sharking the modern day system is actually a system that allows people
05:33to change their financial condition for the house that you bought with 30% in 10 years if it went up
05:42and appreciated 10% per year imagine how much your wealth has increased as a result of that purchase
05:49so those are opportunities that are only allowed in certain countries other countries have no concern
05:56for people for people to buy property and their population are always put into a position of poverty
06:06so all of these are a ni'mat that Allah brought when this western world was being established the whole
06:14world had a system of landowners so when landowners they would own hundreds and thousands of acres
06:25and if you owned the land there was no reason to sell it you gave those hundred thousand acres to your
06:31children they bought another ten thousand acres another ten thousand what happened is then less than one
06:38percent owned everything this nation understood that our people their only way of wealth and independence
06:48is they have to own land you know america was established and and these countries were established
06:54that the people have to own so what did they understood from islam they created property tax
07:04so the invention of property tax was to take land away from these landowners somebody sitting with a
07:12hundred thousand acres the government said okay if you're going to sit on it and not give it to the
07:16people so that people can come and buy the land and farm the land and work the land and improve their lives
07:23then you owe us now a property tax well that made everybody sell all their essential property
07:29that's it we're not going to hold it sell everything except the core things that they want
07:34that was established by Prophet ï·º in what we call zakat
07:40same understanding Prophet ï·º knows because this is a manual from heaven that if these people take their cash
07:48take their gold take their wealth and sit on it they will never move that money in the community
07:56and as a result the community will become barons you know small group of families owning everything
08:03and everyone else just poor so the concept was if they're going to hold it you're going to tax them
08:10and so that's why zakat is taxed on everything you own if you have gold you held it no problem you're
08:16going to pay tax on it again and every year you pay tax on it pay tax on the savings you have cash you
08:22have real estate you have assets you have everything and the largest flow of charity money on this earth
08:31now are zakat funds so they want to know the greatness of Islam and what Allah has prescribed
08:40they learned all of these realities from Islam because Thomas Jefferson was studying Islam he understood
08:47that how their system of zakat and they knew that to battle these property owners you have to tax them
08:52otherwise they'll hold like barons and nothing will move for people so alhamdulillah they go back to
08:59the riba is not riba inshaAllah the only thing that is questionable on riba are credit cards
09:05and that's the one that everybody uses a credit card but they don't want to get a home loan
09:10so the credit card is the dangerous one because that really you can't get out of if you put yourself
09:18on a ten thousand twenty thousand dollar credit card and before you know it you pay down the credit
09:24card but the interest at 25 percent your interest payment becomes nine hundred dollars a month just
09:31interest payment on on your credit card so that's the biggest dangers is try to to be careful with the
09:37use of credit cards home loan is a immense investment a good investment the bank takes a risk so because
09:45of their risk factor it's not loan sharking just the credit card is something to be sort of in moderation
09:52because if you can pay it off without incurring that 25 percent then you you live every month
09:59and pay off the balance and that's a safe way of living inshaAllah
10:07so
10:15you
10:17so
10:19you
10:21you
