How Much Must Be Disposed of from an Inherited Interest Account?

Answered by Mawlana Ilyas Patel

Question

I inherited a savings account that accrues interest, which I consider impermissible.

The funds consist of deposits made over many years, along with interest, but I only have partial records and cannot accurately calculate the amount of interest included.

If I close the account, am I required to give all the money to charity, or only the portion I am certain is interest?

Answer

In the Name of Allah, the Most Merciful and Compassionate

You are not required to give away all your money; since you cannot calculate the exact amount, simply estimate the accrued interest as best you can and donate that to charity.

Interest money is considered money that is generated from a prohibited transaction and should be considered forbidden wealth.

It must be returned to its rightful owner or donated to charity, as the person doesn’t own it. Interest should be given to charity without seeking reward.

Also, inform the charity of its source for proper use.  [Ibn Abidin, Radd al-Muhtar]

I would like you to go through the valuable answers and links below. You will receive guidance and direction in sha Allah.

Related Answers

• What Should I Do About Interest In My Bank Accounts?
  Explains how to dispose of impermissible interest earnings in accordance with Islamic law.
• What Do I Do with Interest Accrued on My Savings Account …
  Clarifies the rulings related to interest accumulated in savings accounts and how it should be handled.

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I pray this helps answer your question.

[Mawlana] Ilyas Patel
Checked and Approved by Shaykh Faraz Rabbani

Mawlana Ilyas Patel has received traditional education in various countries. He started his schooling in the UK and completed his hifz of the Quran in India. After that, he joined an Islamic seminary in the UK, where he studied secular and Aalimiyya sciences. Later, he traveled to Karachi, Pakistan, and other Middle Eastern countries to further his education. Mawlana has served as an Imam in the Republic of Ireland for several years and taught the Quran and other Islamic sciences to both children and adults. He also worked as a teacher and librarian at a local Islamic seminary in the UK for 12 years. Presently, he lives in the UK with his wife and is interested in books and gardening.