The correct way of lending money in Islam is: 1- To specify the period of the loan. 2- Writing down the loan. 3- If the one who writes down the loan is a person other than the debtor, then the debtor is the one who should dictate to him the details of the loan. 4- If the debtor is unable to dictate because of sickness or some other reason, then the one who should dictate on his behalf is his guardian. 5- The loan should be witnessed, and the witnesses should be two men, or one man and two women. 6- The lender has the right to ask the borrower to guarantee the loan with a pledge which the lender will keep.

It is permissible for the workplace to deduct something from the employee’s salary to pay off a debt that he owes to them, provided that that is done with the consent of both parties and provided that it will not add up to more than what is owed.

Loans should be repaid in the same currency as they were taken by the borrower unless the two parties agree at the time of repayment to repay it in a different currency. There is nothing wrong with that so long as that is done at the rate of exchange on the day of repayment not the rate of exchange that existed on the day when the loan was given.

In Islam, a son is not automatically responsible for his father’s debts. The debt should be paid from the deceased’s estate before any inheritance is distributed among the heirs. If the father left no estate or assets, the son is not obligated to pay off the debt. However, it is considered an act of kindness to pay the debt voluntarily, especially if the son is capable.

It is not permissible for the lender to stipulate in a loan contract that the borrower must pay back the loan with more than he took. It is permissible to make the borrower pay the costs of issuing the loan and other related services, on condition that the amount paid is equal to the real costs involved in issuing the loan.

What is required of one who seized wealth by force or stole it is to return the currency in accordance with its value on the day on which it was seized or stolen. If what was stolen was particular items, then the thief is liable for any drop in prices. In the case of other debts, there should be differentiation between small and great changes in the value of currency. If the change is small, and does not reach one third of the debt, then the same amount must be paid back, and no attention should be paid to the value of the loan when it was given. But if there was a big change, as much as one third or more, then an agreement must be worked out between the two parties to share the loss. If it is decided that payment is to be made on the basis of the value of the loan on the day when it was given, then it should be worked out according to the price of gold at the time when the loan was given, or according to the purchasing power of the currency at that time, but it should be paid back in a different currency than that in which the loan was given.