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Loan Agreement

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Question:

I recently lent a sum of money to another Muslim in order to assist that person with the purchase of their first home. The loan has been recently repaid and he is so grateful for the gesture that he wishes to invite me to his home for a meal as a token of appreciation.

I have declined the invitation for fear that it would be regarded as taking benefit from the loan which would be like receiving interest. However, I also don’t want my action of declining the invitation to be seen as arrogance on my part.

Please advise me on what would be the best action in the eyes of Allah.

Was-Salaam

Answer:

In the given scenario, there would be no harm in accepting their invitation as they are merely expressing their appreciation towards you. Their invite is not part of adherence to a condition that you placed at the time of giving the loan. Hence, it would be acceptable to honour the invitation.

Reference: Shaami 5/166

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