Seminar and Q&A video


Coming soon: Comprehensive Khums Calculator App. Stay tuned!

Your Loan Niyyat

Receiving a loan from a non-Muslim financial institution with the condition of ribā (interest) is ḥarām. What does this mean for your mortgage, car loan, student loan, or other debt you may have?

Make the Correct Intention:
For loans, mujtahideen propose that these transactions would be valid if you initiate them with the niyyat (intention) of dhimān – a surety or liability that you intend to pay back, disregarding the interest aspect. Since it is now considered a loan Islamically, then a first-time home buyer would be able to utilize the khums exemption ruling provided by Ayatullah Sistani. (Review the resources on this page for more information on the exemption)

What if I already have a loan?
If you were unaware of this ruling at the time of signing your loan, then you can wait until the next renewal date to adjust your niyyat accordingly.

What about the Niyyat of istinqādh?
Initiating a loan with the niyyat (intention) of istinqādh means having the intention of taking the money without intending to pay the interest. You would be legally obliged to pay this interest, however it isn’t something you intended to do, if you had a choice. The money received from a bank with the intention of istinqādh would be halal, but it would not be considered a loan. Now, your debt is considered halal, however since it’s not a loan, you would not be able to utilize the khums exemption ruling provided by Ayatullah Sistani, unlike the niyyat of dhimān.

Khums Book – by Maulana S.M. Rizvi

Khums is an issue every practicing Shi’ah must deal with once a year. The need for an easy to understand, yet comprehensive guide has been felt for years. Especially now more than ever, with the financial complexities of our world today. This book hopes to fill that void, since its first publication in 1984. The most popular aspect of this book is the khums calculation form, which provides easy to use, step-by-step instructions on calculating your khums for the year.

This 4th edition includes numerous revisions and expansions, including: the history and usage of khums during the time of the Prophet and Imams, the moral and political aspects of khums, updated examples and rulings, practical and common issues for those living in the West, frequently raised questions, and much more. The book also reflects rulings based on various prominent maraji’ in order to cater to as many muqallidin as possible.

Previous versions of this book have been well received, as well as prompting insightful feedback from communities around the globe. It has been reprinted in Iran and Pakistan, translated into various languages, has had excerpts published in magazines, has been incorporated in other publications, and has been the basis for countless other seminars, booklets, and calculation forms.

Some overall topics and features include:

  • Discussing the Islamic economic system
  • Khums in the Qur’an and history
  • Defining khums, income, surplus, expenses, etc
  • Various rulings and common situations
  • The distribution of khums
  • Some thoughts on khums and society
  • Calculation forms and guidelines

Be sure to also check out this seminar and Q&A session on Khums, by Sayyid Muhammad Rizvi. It covers:

  • The meaning behind the concept of Khums
  • Items upon which khums is wajib
  • When do you pay khums?
  • What is surplus? What is profit? What is income?
  • What is exempt from khums?
  • What are savings?
  • What are allowable expenses?
  • What to do with debt?
  • Insurance premiums
  • Registered Retirement Savings Plan (RRSP)
  • Registered Education Savings Plan (RESP)
  • Tax Free Savings Account (TFSA)
  • Private Company Pension Plans
  • Life Insurance (Whole and Term) Premiums
  • Critical Illness Insurance Premiums
  • Saving for the future
  • Child allowance
  • Saving for a home
  • Home equity
  • Dowry
  • Unused items
  • Gifts
  • Business inventory and property
  • Division of Khums
  • Q&A session

If you have any questions or scenarios which aren’t covered in the book or the seminar, feel free to message us for further details using the contact page, or emailing us at the address at the bottom of the page.

ISBN 9780920675151. Copyright 2014, Al-Ma’arif Publications, All rights reserved.

Choose between a physical copy or eBook:

Also available on Rakuten Kobo and Kindle eReaders:

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