Assalammualaikum wr wb,

Last week we shared about how Credit Cards works and how it can incur debts to people who are not able to manage it properly. You can read the write up here again - Why is Riba more threatening than Zina.

For those who are responsible with your money and pay off credit card loans every month. Alhamdulillah. However in Islam if there is a better option, use it because we never know when Allah swt will take away our rezeki from us hindering our ability from paying off loans. 

Over the years, the banks eventually created Debit Cards. You can still make payments locally and overseas, online and offline. The main difference is that, you can only make payment with a debit card when the money in your bank account is sufficient. Which also means you are not taking any loans from the bank and you can only spend what you have. 

Unlike credit cards, the debit card have lesser perks. They don't offer Mile points for those who fly frequently and they don't offer many free things. As much as you are comfortable with this type of lifestyle think about what we said in the previous email. Are you getting those points through other people's misery? 

We talked a lot about Fardhu Kifayah but what exactly is it? Fardhu kifayah in a nutshell is about the actions that you are responsible for that may affect others in the community. It may seem to you that using credit cards is your own responsibility but the truth is every time you use it someone else is hurting. 

It's a systemic problem on a very high level that us as commoners don't see until it really gets very bad and it has gotten to a very bad stage. The personal debt level in our country is getting sky rocketing high. Statistics don't lie. Read this article from Business Insider.

 
So our advise, especially during this Raya period:
 

1) Spend with what you have. Control your nafs no matter how great the promotions are. If you don't have the means to get it. Please don't. 
 

2) Use alternatives that don't lead you to more debt. Use Debit cards, Nets card or even cash. Stop taking unnecessary credit loans.

Clearing the Dust

The main goal in this upcoming seminar is to help our community to achieve Barakah. First through education and next through amal. 

We have included a segment for those who are deeply in debt especially with those who have more than $15,000 debts. Be it credit or hire purchase debts. There are solutions to first stop the Riba ( Interest ) from growing and then allow a comfortable payment plan monthly. 

If you know someone who has problems with managing their debt, please share this with them. 

Want to know more.. Check out the upcoming Seminar, Clearing the Dust.