Student Loans
- Thread starter Zahra08
- Start date
As-salaamu `alaykum.
Here in the UK, the interest rate set on student loans is the same as the inflation rate of the country, so you're still eating ribaa' despite the fact that they claim your only paying back the "value" of the money. Sounds like icing on top of a steel cake if you ask me.
You might be better off considering a student account with your bank, they tend to give interest free overdrafts for the duration of study and 3 years after. Allaah knows best, that might not be an option either...
See this fatwa for more info,
http://islamqa.com/en/ref/23388/inflation
Here in the UK, the interest rate set on student loans is the same as the inflation rate of the country, so you're still eating ribaa' despite the fact that they claim your only paying back the "value" of the money. Sounds like icing on top of a steel cake if you ask me.
You might be better off considering a student account with your bank, they tend to give interest free overdrafts for the duration of study and 3 years after. Allaah knows best, that might not be an option either...
See this fatwa for more info,
http://islamqa.com/en/ref/23388/inflation