Having shares in the Saudi-American Bank

Reference: Fataawa al-Lajnah ad-Daa.imah lil-Buhooth al-‘Ilmiyyah wal-Iftaa. – Volume 13, Page 506, Fatwa No.3134

Question: Advise us, may Allaah increase you in knowledge, about the ruling of having shares in the Saudi-American Bank. Is it ribaa, since it trades in interest and is based upon interest, as we know?

Response: The Saudi-American Bank and other banks, if they are based upon ribaa and trade in ribaa, then it is not permissible to have shares in them. This is because it is regarded as assisting in sin and transgression, and Allaah has prohibited this, as He (Subhaanahu wa Ta’aala) says:

{but do not help one another in sin and transgression}, [Soorah al-Maa.idah, Aayah 2].

And with Allaah lies all success and may Allaah send prayers and salutations upon our Prophet (sal-Allaahu ‘alayhi wa sallam) and his family and his companions.

Abu 'Abdullaah

About Abu 'Abdullaah

- from London, UK. He is a graduate of the Islaamic University of Madeenah, having graduated from the Institute of Arabic Language, and later the Faculty of Sharee'ah in 2004.