The Concept of Riba in Fiqh Muamalah Maliyyah and Its Practices in Business

Contemporary
Najma Annisa Syaefryan
Department of Sharia Economic Law, Faculty of Sharia and Law, Sunan Gunung Djati State
Islamic University
E-mail : annisanajma01@gmail.com

Abstract
Riba etymologically means increase (al-ziyadah), growth (an-numuw), increase
(al-'uluw). kindly terminologically, usury is an addition to the principal of the debt agreed
upon or required as compensationon debt repayment. Riba is absolutely, strictly and clearly
prohibited according to the Al-Qur'an, As-Sunnah, and the consensus of scholars. In general,
usury is divided into two types, namely usury in debt (usury duyun/usury qardh) and usury in
buying and selling (usury buyu'). Maqashid (goals) forbidding usury: 1) avoiding tyrannical
practices occur against business actors; 2) violates the principle of the basic nature of a
loan/debt as kindness/social transactions that are converted into business-motivated
transactions; prevent wrongdoing the creditor against the debtor by exploiting the interest on
the debt; avoid inner gharar exchange/buy-sell; and so that money does not become a
commodity to be traded. The criteria for usury qardh it is forbidden if the additional debt is
agreed upon in the contract or the gift/additional is paid before paying off the debt. As for
usury buyu' occurs when it violates the two rules of usury buying and selling, exchange
Ribawi items of the same type must meet the same criteria for quality and quantity, and must
be in cash, if exchanged different types, the conditions must be cash and may set a margin in
it. In practice, riba qardh occurs a lot in fintech products, insurance, capital markets,
conventional banking and business its derivatives. As for the practice of usury buyu' occurs in
foreign exchange transactions, in the exchange of similar types of money happening online.

1. INTRODUCTION
This paper attempts to decipher simply the substance of usury which is
prohibited according to the Qur'an, as-sunnah and ijma ulama. The concept of usury
referred to in this paper is the meaning of usury both linguistically and in terms, the
legal basis for the prohibition of usury, the prohibition of usury, the criteria for
forbidden usury, the rule of usury in buying and selling, and the practice of usury in
contemporary Islamic financial and business transactions.
Usury is part of transactions that are prohibited in Islamic teachings. In the
study of the fiqh of muamalah maliyah, the study of usury is one of the most
important and substantial topics to discuss. The discussion of usury is an urgent part
because usury can be one of the means of identifying whether or not a transaction is
allowed to be carried out in Islamic business and finance. That is, if there is a
transaction in which an element of usury is found, then the transaction is prohibited
(haram) in the perspective of Islamic law.
Thus, the focus of this paper is to explain the definition of usury, the legal
basis for the prohibition of usury, the stages of usury expectations, maqashid
 (purpose or target) of the prohibition of usury, the variety and variety of usury, the
substance of riba qardh and riba buyu', the postulate of the prohibition of usury, the
maqhashid prohibition of usury, the criteria or limitations (dhawabit) of riba qardh,
the rules or formulation of riba buyu', and the practice of riba qardh and riba buyu'
in contemporary financial and business transactions.
This paper seeks to unravel the substance of usury that is dabared in Islamic
teachings. The frequent occurrence of misconceptions and misconceptions about
usury spurred the author to make a literature review of prohibited usury, both usury
in debt and usury in buying and selling but elaborated with an easy-to-understand
discussion. The question that is often asked and must be answered is related to
usury is: why is usury forbidden in Islamic teachings? Is all the addition arising from
the debt receivable a usury? What are the criteria or limitations (dhawabit) of usury
that are forbidden according to the Quran and assunnah? What are the rules of
usury in buying and selling? and how is the practice in Islamic transactions and
business?
2. LITERATURE REVIEW
2.1. Definition of Usury
The word riba comes from Arabic, etymologically meaning to increase (al-
ziyadah), grow (an-numuw), increase/become tall (al-'uluw), tower (al-rif'ah) and
increase (al-rima) (Jaih Mubarok & Hasanudin, 2018). In relation to the meaning
of usury in terms of the language, there is an ancient Arabic expression stating as
follows: "arba fulan 'ala fulan idza azada 'alaihi" (a person performs usury against
another person if in it there is an additional element or called liyarbu ma
a'thaythum min syaiin lita'khuzu aktsara minhu (taking from something you give
in an exaggerated way than what is given) (Nasution, 1996).
Shalih Muhammad al-Sulthan explained that the definition of usury is
terminologically enacted (disputed). Furthermore, al-Sulthan put forward two
scholarly opinions relating to the definition of usury in terms:
a. Ibn Qudamah in the kitab al-Mughni explains that usury in terms is the
accretion of (exchange) of special property, that is, property measured by scales
and doses, whether the addition occurs in the amount of property that is
measured or weighed or because of the suspension of payment for the exchange
of similar property.
a. b. According to al-Sharbini, usury in terms is the exaggeration of the
exchanged property and the suspension of payment of similar property
exchanged.
In fiqh terminology, usury is any addition in return ('iwadh) from a
certain time suspension, whether the loan is for consumptive needs or for
productive needs the law remains illegitimate (Abu Zahrah, 1980). In line with
the above opinion, Abdul Rahman al-Jaziri said the scholars agreed that in
addition to a certain amount of loans when the loan was paid within a certain
grace period, the 'iwadh (reward) was usury (Wasilul Chair, 2014).
Muhammad Ali As-Shabuni in Rawa'i al-Bayan explained that usury is the
excess (on the principal of the debt) taken by the creditor (the one who gives
 the debt) from the debtor (the one who borrows the debt) in exchange for
the debt repayment period.
The definition proposed by Abu Zahrah and Ashabuni is similar to the
definition of riba qardh or riba duyun i.e. the addition required to the
principal debt, while the definition described by al-Jaziri is closer to the
definition of usury jahiliyah, which is an addition due to the suspension of
time on debt repayment.
2.2. Postulate of the Prohibition of Usury
2.2.1. Stages of Prohibition of Usury in the Quran
Undoubtedly, usury is a legal act that is expressly prohibited in the
Quran and as-Sunnah (Chapra, 2007). In sura alBaqarah (2) verse 275
Allah Almighty says "... Allah justifies buying and selling and forbids
usury ...". Abu Zahrah emphasized that buying and selling is justified
because there is a balance between profit and loss (al-ghunmu bil
gurmi), while usury is forbidden because it violates the above rules,
violating the balance between profit and loss, that is, profitable
business without bearing the risk of loss (Jaih Mubarok & Hasanudin,
2018).
The prohibition (hope) of usury in the Qur'an is carried out
gradually / gradually (tadrij) (Jaih Mubarok & Hasanudin, 2018). In the
Koran, usury is mentioned eight times in four surah berbe- da, namely
once in verse 39 of surah arRum, once in verse 161 of surah al-Nisa,
once in verse 130 of surah Ali Imran, three times in verse 275 of surah
al-Baqarah, once in verse 276 and verse 278 of surah al-Baqarah
(Sharif, 2012). The four surahs chronologically describe the four
stages of the expectation of usury in the Quran (Chapra, 2007).
In Q.S ar-Ruum (30) verse 39, Allah Swt says:
ٰ ‫اس فَاَل يَرْ بُوْ ا ِع ْن َد هّٰللا ِ ۚ َو َمٓا ٰاتَ ْيتُ ْم ِّم ْن‬
‫زَكو ٍة‬ ۟
ِ َّ‫َو َمٓا ٰاتَ ْيتُ ْم ِّم ْن رِّ بًا لِّيَرْ بُ َوا فِ ْٓي اَ ْم َوا ِل الن‬
ۤ ‫هّٰللا‬
ٰ ُ ‫تُر ْي ُدوْ نَ َوجْ هَ ِ فَا‬
َ‫ك هُ ُم ْال ُمضْ ِعفُوْ ن‬ َ ‫ول ِٕى‬ ِ
That is to say: And the usury (additional) which you give so
that he may increase to man's property, then that usury does not add
to the side of God. And what you give in the form of zakat that you
mean to achieve the pleasure of Allah, then (who does so) are the
ones who multiply (the reward). (QS. Ar-Rum [30]: 39).
In the first stage, the Qur'an rejects the notion that usury in zahir
seems to help those in need (Chapra, 2007). The above verse also
informs about the comparison between usury and zakat. Usury
empirically increases wealth, but in God's view it does not increase.
While zakat is empirically the treasure decreases, but in God's view
the treasure actually increases. The substance of the above verse is
still informative (khabari) (Jaih Mubarok & Hasanudin, 2018).
In Q.S an-Nisa (4) verses 160-161 Allah Swt says:
‫ص ِّد ِه ْم ع َْن َسبِي ِْل هّٰللا ِ َكثِ ْير ًۙا‬ َ ِ‫ت لَهُ ْم َوب‬ ٍ ‫فَبِظُ ْل ٍم ِّمنَ الَّ ِذ ْينَ هَا ُدوْ ا َح َّر ْمنَا َعلَ ْي ِه ْم طَيِّ ٰب‬
ْ َّ‫ت اُ ِحل‬
‫اس بِ ْالبَا ِط ِل ۗ َواَ ْعتَ ْدنَا لِ ْل ٰكفِ ِر ْينَ ِم ْنهُ ْم َع َذابًا اَلِ ْي ًما‬ ِ َّ‫َّواَ ْخ ِذ ِه ُم الرِّ ٰبوا َوقَ ْد نُهُوْ ا َع ْنهُ َواَ ْكلِ ِه ْم اَ ْم َوا َل الن‬
 That is to say: So because of the tyranny of the Jews, we are
forbidden to (eat food) that was well (which was) justified for them,
and because they hinder (man) a lot from the way of God, (QS. An-
Nisa: 160). And because they ate usury, when indeed they had been
forbidden from it, and because they ate the property of the people in
a vanity way. We have provided for the infidels among them a
poignant torment. (QS. An-Nisa: 161).
In the second stage, usury is described as a bad one. God
forbids usury for Jews, and threatens to give harsh retribution to
those who eat usury (Chapra, 2007). This verse also gives a historical
picture of the Jews' transgressive behavior towards usury that God
forbids.
In Q.S Ali Imran ((3) verse 130 Allah Swt said: َ
َ َ‫ض َعفَةً ۖوَّاتَّقُوا هّٰللا َ لَ َعلَّ ُك ْم تُ ْفلِحُوْ ۚن‬
ٰ ‫ٰيٓاَيُّهَا الَّ ِذ ْينَ ٰا َمنُوْ ا اَل تَْأ ُكلُوا ال ِّر ٰب ٓوا اَضْ َعافًا ُّم‬
That is to say: O people of faith, do not eat usury multiply] and
be devoted to God that you may have good fortune. (QS. Ali Imran :
130).
In the third stage, usury is forbidden by being associated with
a multiplied addition. According to interpreters, the practice of usury
at the time (jahiliyyah) by way of taking such a high addition
(multiplied) (Chapra, 2007). In this verse there is information
prohibiting Muslims from consuming or carrying out usury in the form
of additional debts that are multiple (doubled). At this stage, usury
has been forbidden to Muslims, but it is limited to usury debts (riba
jahiliyah) which double. The monasticism of usury at this stage is not
yet absolute.
In Q.S al-Baqarah (2) verses 275, 278-279 Allah Swt said:
ۗ ‫اَلَّ ِذ ْينَ يَْأ ُكلُوْ نَ الر ِّٰبوا اَل يَقُوْ ُموْ نَ اِاَّل َكما يَقُوْ ُم الَّ ِذيْ يَتَ َخبَّطُهُ ال َّشي ْٰطنُ ِمنَ ْالم‬
ِّ‫س‬ َ َ
ۗ ‫وا َواَ َح َّل هّٰللا ُ ْالبَ ْي َع َو َح َّر َم ال ِّر ٰب‬
‫وا‬ ۘ ‫ك بِاَنَّهُ ْم قَالُ ْٓوا اِنَّ َما ْالبَ ْي ُع ِم ْث ُل ال ِّر ٰب‬
َ ِ‫ٰذل‬
That is to say: People who eat (take) usury cannot stand but
are like the standing of people who enter the shaitan because of (the
pressure) of madness. Their situation, which is so, is because they say
(argue), in fact, buying and selling is the same as usury, even though
God has justified buying and selling and forbidding usury.... (QS.
AlBaqarah: 275).
In the fourth stage, the above verse provides an understanding
of the difference between business (buying and selling) and usury. In
addition, it is also affirmed that people of faith are prohibited from
taking usury. God gives the command to take only the principal of his
property that is lent without any additional required or promised
(Chapra, 2007). The opinion of Wahbah al-Zuhailiy in Muamalat al-
Maaliyah al-Mu'ashirah with the existence of Q.S al-Baqarah verse
275, usury is the haram of the law, both in large quantities
(multiplied, and slightly.
 ْ ‫ك‬ ۗ ‫اَلَّ ِذ ْينَ يَْأ ُكلُوْ نَ ال ِّر ٰبوا اَل يَقُوْ ُموْ نَ اِاَّل َكما يَقُوْ ُم الَّ ِذيْ يَتَ َخبَّطُهُ ال َّشي ْٰطنُ ِمنَ ْالم‬
َ ِ‫سِّ ٰذل‬ َ َ
‫وا فَ َم ْن َج ۤا َء ٗه َموْ ِعظَةٌ ِّم ْن َّرب ِّٖه فَا ْنتَ ٰهى‬ ۗ ‫وا َواَ َح َّل هّٰللا ُ ْالبَ ْي َع َو َح َّر َم ال ِّر ٰب‬
ۘ ‫بِاَنَّهُ ْم قَالُ ْٓوا اِنَّ َما ْالبَ ْي ُع ِم ْث ُل الرِّ ٰب‬
ۤ ‫هّٰللا‬
ٰ ُ ‫فَ َواَ ْمر ٗ ُٓه اِلَى ِ ۗ َو َم ْن عَا َد فَا‬ ۗ َ‫فَلَهٗ َما َسل‬
َ‫ار ۚ هُ ْم فِ ْيهَا ٰخلِ ُدوْ ن‬
ِ َّ‫ك اَصْ ٰحبُ الن‬ َ ‫ول ِٕى‬
That is to say: O people of faith, be devoted to God and leave
the rest of usury (which has not been levied) if you are people of faith.
(QS. Al-Baqarah: 278). So if you do not do (leave the rest of usury),
then know, that Allah and His Messenger will fight you. And if ye
repent (of the taking of usury), then to you the principal of your
treasure; You don't persecute and aren't (anyway) persecuted. (QS.
Al-Baqarah: 279).
The above verse was handed down before the death of the
Messenger of Allah Saw. And at the same time as the ultimate verse
passed down related to usury. Based on the description of this verse,
clearly, unequivocally and absolutely God forbids usury in all its forms,
both few and many (Chapra, 2007).
2.2.2. Keharaman Riba According to Hadith
Prophet Muhammad SAW Hadith narrated from the friend of 'Ubadah
bin Shamit ra that the Prophet Saw said:
ً‫ح ِم ْثال‬
ِ ‫ير َوالتَّ ْم ُر بِالتَّ ْم ِر َو ْال ِم ْل ُح بِ ْال ِم ْل‬
ِ ‫ض ِة َو ْالبُرُّ بِ ْالبُرِّ َوال َّش ِعي ُر بِال َّش ِع‬
َّ ِ‫ضةُ بِ ْالف‬
َّ ِ‫ب َو ْالف‬
ِ َ‫الذه‬ َّ ِ‫الذهَبُ ب‬
َّ
‫ت هَ ِذ ِه اَألصْ نَافُ فَبِيعُوا َك ْيفَ ِشْئتُ ْم ِإ َذا َكانَ يَدًا بِيَ ٍد‬ ْ ‫بِ ِم ْث ٍل َس َوا ًء بِ َس َوا ٍء يَدًا بِيَ ٍد فَِإ َذا‬
ْ َ‫اختَلَف‬

That is to say: (Exchange) gold for gold, silver for silver, wheat
for wheat, millet with millet, dates with dates, salt with salt in equal
quantities and in cash. If there are different types, then trade
according to your will, as long as it is in cash (HR. pilgrim hadith
expert, with lafadz of Muslim No. 1587).
a. Hadith narrated from jabir ra's best friend:

َ َ‫لَ َعنَ َرسُو ُل هَّللا ِ صلى هللا عليه وسلم آ ِك َل ال ِّربَا َو ُمو ِكلَهُ َو َكاتِبَهُ َو َشا ِه َد ْي ِه َوق‬
‫ال هُ ْم َس َوا ٌء‬
said, that the Messenger of Allah SAW circumcised the one who
ate (took) usury, the one who gave it (the debtor), the one who
wrote it, and the one who witnessed it". He said they all have the
same legal status. (HR. Muslim).
b. Hadith narrated friend of Abu Hurairah ra َ

‫ َوقَ ْت ُل‬،ُ‫ َوالسِّحْ ر‬،ِ ‫ك بِاهَّلل‬ُ ْ‫ َو َما ه َُّن قَا َل " ال ِّشر‬،ِ ‫ قَالُوا يَا َرسُو َل هَّللا‬." ‫ت‬ ِ ‫اجْ تَنِبُوا ال َّس ْب َع ْال ُموبِقَا‬
ُ‫ َوقَ ْذف‬،‫ف‬ ِ ْ‫ َوالتَّ َولِّي يَوْ َم ال َّزح‬،‫ َوَأ ْك ُل َما ِل ْاليَتِ ِيم‬،‫ َوَأ ْك ُل ال ِّربَا‬،ِّ‫س الَّتِي َح َّر َم هَّللا ُ ِإالَّ بِ ْال َحق‬
ِ ‫النَّ ْف‬
"‫ت‬ ِ َ‫ت ْالغَافِال‬ ِ ‫ت ْال ُمْؤ ِمنَا‬ِ ‫صنَا‬ َ ْ‫ْال ُمح‬

That is to say: From Abu Hurairah ra, from the Messenger of Allah
SAW said, 'Stay away from the seven things that destroy !' The
companions asked, 'What are the seven things, O Messenger of
 Allah?' He replied, 'Confirming Allah, magic, killing souls forbidden
by Allah Almighty except in the right way, eating usury, eating
orphans' treasures, running away from the battlefield and
accusing adultery of polite mu'min women who neglect evil deeds.
(Muttafaqun Alaih).
c. Hadith from Ibn Mas'ud ra that the Messenger of Allah Saw said:

‫َح َّدثَنَا ْال َعبَّاسُ بْنُ َج ْعفَ ٍر َح َّدثَنَا َع ْمرُو بْنُ عَوْ ٍن َح َّدثَنَا يَحْ يَى بْنُ َأبِي زَ اِئ َدةَ ع َْن ِإ ْس َراِئي َل ع َْن‬
َ ‫يع ْب ِن ُع َم ْيلَةَ ع َْن َأبِي ِه ع َْن اب ِْن َم ْسعُو ٍد ع َْن النَّبِ ِّي‬
‫صلَّى هَّللا ُ َعلَ ْي ِه َو َسلَّ َم قَا َل‬ ِ ِ‫الرُّ َك ْي ِن ْب ِن ال َّرب‬
‫َما َأ َح ٌد َأ ْكثَ َر ِم ْن ال ِّربَا ِإاَّل َكانَ عَاقِبَةُ َأ ْم ِر ِه ِإلَى قِلَّ ٍة‬

That is to say: It is not a person who multiplies usury, but the end
of the matter will lose money (Ibn Majah, Bab Taglidh fir riba, No.
2270).
2.2.3. Ijma Ulama About the Haram of Usury
All scholars without exception have agreed/consensus (berijma')
that riba qardh and riba buyu' are forbidden in Islam. Based on the
above postulates the shahih and sharih (clear and unequivocal) show
that riba qardh (riba nasi'ah/riba jahiliyyah) belongs to the tsawabit
and qath'iyyah (principled and fundamental) in Islam.
2.3. Miscellaneous Usury
According to jumhur ulama, usury is divided into two forms, namely as follows:
a. Usury due to debts is called riba qardh or riba duyun (plural of dayn) which
is a certain benefit, level of excess, or addition (ziyadatul maal) that is
required or promised to the person who owes (muqtaridh/debtor) for the
principal of the debt, and riba jahiliyah, which is an addition that is paid
above the principal of the debt due to the borrower (debtor) not being able
to pay the debt on time. The definition of usury in this first group is relevant
to the literal meaning of usury, i.e. additional (al-ziyadah).
b. Usury due to buying and selling is called riba buyu' (plural of the word bai')
includes riba fadhl riba nasa' (riba yad), and riba nasi'ah which is the
exchange between similar goods of different quantity, quality, or time of
delivery and the goods exchanged are included in the types of ribawi goods
(al-amwaal al-ribawiyat) namely: gold, silver, wheat, dates, and salt.
 Riba

Riba
Riba buyu'
qardh/duyun

Riba nasa'
Riba nasi'ah Riba jahiliyah Riba fadhl Riba nasi'ah
(yad)

3. RESEARCH METHODS
The type of research used in this research is the library research method. The
literature study method is related to theoretical studies and several references that
will not be separated from scientific literature (Sugiyono, 2020). The approach used
in this study is a juridical normative approach. The steps of literature research that
will be carried out in this study include: systematic identification, analysis of
documents containing information related to the study problem (Nasution, 2012).
4. DISCUSSION & DISCUSSION
4.1. Goal or Target (Maqashid) usury is forbidden
Allah derived his sharia to have a maqashid or purpose contained
therein. Sahroni and Karim (2015) in the book Maqashid Islamic business and
finance: The synthesis of jurisprudence and economics explains maqashid the
prohibition of usury, including:
a. Avoid tyrannical practices against business people. In riba qardh,
profit (ghunmu) appears without risk (ghurmi) and the result of effort
(kharaj) appears without cost (dhaman). Al-ghunmu and al-kharaj
appeared only with the passage of time. Even though business is
uncertain, there is always the possibility of profit, breakeven, or loss.
The exchange of liability may give rise to an act of zalimagainst one
party, both parties, or the other. Thus, charging interest on a loan is
an act of tyranny because it makes sure something uncertain,
therefore it is forbidden.
b. Riba jahiliyah is prohibited due to violation of the rule "kullu
qardhin jarra manfa'atan fahua riba" (any loan that brings benefits to
creditors is usury). Lending is a transaction of kindness (tabarru) while
asking for compensation/reward (iwadh) is a business transaction
(mu'awadhah/tijarah). Meanwhile, transactions that are good / social
in nature are prohibited from being transformed into business-
motivated transactions.
 c. Prevent creditors (lenders/debtors) from committing harm to the
borrower (debtor), because in practice the lender exploits the
borrower by asking for compensation/interest/ additional on the debt
given.
d. Maqashid usury is forbidden buyu' (buying and selling usury) i.e. to
avoid obscurity (gharar) in buying and selling transactions. Because
this kind of buying and selling or transaction contains gharar, that is,
the injustice to both parties or one of the parties will each exchange
value. This vagueness may give rise to acts of malfeasance against the
parties involved. Furthermore, these zalim actions can give rise to
conflict and hostility. This maqashid uses the saadz dzara'i method or
closes the gap of danger/monasticism.
e. Another maqashid forbidden by usury is so that money does not
become a commodity that is traded, so that money makes money and
does not produce goods/services as the function and purpose of
creating money. The function of money in the Islamic view is as a
medium of exchange in the circulation of goods and services.
4.2. Usury In Debts (Riba Qardh)
4.2.1. Riba Qardh Substance
Riba qardh is an addition (al-ziyadah) that is promised or
required for the loan of money (dinar/dirham/rupiah) which must be
returned at the agreed time (Jaih Mubarok & Hasanudin, 2018). Riba
qardh occurs in transactions of debts that do not meet the criteria of
profit appearing alongside risk (al-ghunmu bil ghurmi) and the result
of the business appears alongside costs (al-kharraj bi dhaman). Such a
transaction contains an exchange of obligations to bear the burden
only due to the passage of time (Karim & Sahroni, 2016).
Riba qardh can also be called riba nasi'ah and riba duyun. Riba
nasi'ah is the suspension of the delivery or acceptance of types of
ribawi goods that are exchanged with other types of ribawi goods.
Riba nasi'ah is also found in riba buyu' because the scope of riba buyu
is indeed wider to include objects that are money (nuqud /
tsamaniyah) and objects that are isti'mali (consumptive / used
repeatedly) and istihlaki (consumables) while in riba qardh includes
only part of it, namely objects that are money or medium of exchange
(nuqud / tsamaniyah) (Jaih Mubarok & Hasanudin, 2018).
So in usury nasi'ah profit (al-ghunmu) appears together
without any risk (al-gurmi) and the result of effort (al-kharaj) appears
without any cost (dhaman). Both of them appeared because of the
passage of time. Whereas in business there is always the possibility of
profit, breakeven, or loss. To make sure something that is uncertain
beyond human authority is a tyranny. This is what happens in usury
nasi'ah, which is to ensure (certaint) something uncertain or exchange
of obligations to bear the burden (exchange of liability) which will
 eventually lead to the tyranny of one of the parties. In conventional
business, usury can be found in deposit products, credit cards, and
credit interest.
Riba qardh / riba duyun can also be called riba jahiliyah, which
is a debt that is paid in excess of the principal of the loan due to the
borrower (debtor) not being able to return the loan funds at a
predetermined time. This type of usury is prohibited because it
violates the rule of "kullu qardhhin jarri manfa'atan fahuwa riba" (any
loan that provides benefits [to lenders/creditors] is usury).
In terms of its nature, qardh contracts or giving loans / debts
to be returned the principal of the debt only at the agreed time
include a good contract (tabarru'at / social contract), which is a
contract that aims to help the other party not the purpose of
obtaining benefits (not a mu'awadhat contract). So transactions that
were originally intended for virtue should not be transformed into
profit-motivated transactions

4.2.2. Qardh's Law of Riba

Riba qardh (riba nasi'ah and riba jahiliyah) is forbidden

according to the Quran and ijma' ulama. Therefore, all scholars
without exception have agreed that riba qardh is forbidden in
Islamic teachings (Karim & Sahroni, 2016). There are many
postulates in the Quran, al-Hadith and ijma' ulama that affirm
the haraman of riba qardh, as explained in sub-chapter 3 on
the postulate of the prohibition of usury. According to the
scholars, usury referred to in Q.S al-Baqarah (2) verse 275; Q.S
al-Baqarah (2) vv. 278-279; and Q.S Ali Imran (3) verse 130 is
riba qardh (riba nasi'ah and riba jahiliyah). The lafadz riba
contained in the three verses above is usury related to debts
or borrowing loans, not usury buyu'/ usury buying and selling
(Karim & Sahroni, 2016).

What is meant by usury above is usury buyu' then

there will be a repetition of meaning, because bai' (buying and
selling) has been mentioned before. Likewise with verses 278
and 279 of sura al-Baqarah. The scholars have consensual
(berijma') that usury qardh is forbidden in Islam. Based on the
above postulates the shahih and sharih (clear and
unequivocal) show that riba qardh (riba nasi'ah/riba jahiliyyah)
belongs to the tsawabit and qath'iyyah (principles and
fundamentals) in Islam

4.2.3. Criteria (Dhawabit) Riba Qardh

 A frequent question is whether all the extras in the
receivables debt are forbidden? What are the limitations or
criteria for these receivables to be referred to as usury qardh?
When referring to the definition of riba qardh above, then
what belongs to the category of riba qardh is if the debt
transaction is promised / required / agreed in the agreement
that the borrower (debtor) is obliged to pay more (al-ziyadah)
of the principal of the debt / loan to the lender (creditor).
Thus, what is forbidden is when the receivables / loans
are required or promised in the contract. As for if the gift or
addition is given voluntarily by the borrower when paying off
the loan, then the excess / addition does not include usury,
but a gift, grant, or alms in accordance with the hadith of the
Prophet Muhammad Saw: "From Jabir rai a said: I went to the
Messenger of Allah Saw who had a debt against me, then he
paid the debt and added to it".
In general, the advantages of this loan can be divided
into 3 parts, namely:
a. Rule one, Receive additional from the required/ promised loan.
b. Rule two, Accepting additional loans without requirement
(voluntary)
c. Rule three, Give a gift/addition before paying off the debt

4.2.4. Qardh's Usury Practices In Contemporary Business

Usury qardh occurs in every financial product that uses

an interest-bearing credit loan transaction system, both
between individuals and with financial institutions using
various names and products (Karim & Sahroni, 2016).
Examples of contemporary riba qardh practices are:
a. Conventional banking methods, such as credit
interest payments and deposit interest payments.
b. Conventional finance institution products, such as
motor vehicle financing loans.
c. The practice of usury jahiliyah can be found in the
imposition of interest penalties on credit card products
that are not paid in full when the bill is due.
d. Usury nasi'ah can be found in the payment of credit
interest, deposit interest, etc. Banks as creditors
provide loans that require interest payments whose
amount is fixed and determined in advance at the
beginning of the transaction (fixed and predetermind
rate).
 e. In conventional insurance, where premium funds are
managed in conventional financial institutions with
interest-bearing loan facilities.
In the various examples above, the lending
financial institution requires to provide interest that is
fixed in nature and determined in advance at the
beginning of the transaction/contract. Even though the
borrower in getting business results does not get fixed
or predetermind benefits as well. In business there is
always the possibility of profit, breakeven, or loss
whose amount cannot be determined at the beginning
(Karim & Sahroni, 2016). So charging a certain interest
rate for a loan is a zalim act, which ensures something
uncertain, because it is forbidden (Adiwarman Karim,
2010).
Riba qardh also occurs in online loans (Pinjol),
which are loans organized by fintech (financial
technology) platforms online with certain conditions. In
practice, the borrower is obliged to return the principal
accompanied by additional (interest) promised to the
lender (creditor) through fintech.

4.3. Usury Buying and Selling (Riba Buyu')

Riba buying and selling (riba buyu') is usury that arises due to the
exchange of similar goods (ribawi property / amwal ribawiyat) of different
quality (mistlan bi mistlin), quantity (sawaan bi sawain), or the time of
delivery is not cash (yadan bi yadin). In principle, buying and selling is
allowed, but not all types of business / exchanges are allowed. If there is an
element of injustice and exploitation in the transaction of amwal ribawiyat
(nuqud and ath'imah) then it includes usury buying and selling.
Riba buyu' is also called riba fadhl, riba nasa'/riba yad, and riba
nasi'ah.
a. Riba fadhl is the exchange of similar ribawi objects whose value,
quantity, scale, or dosage are not the same. Usury is a violation of the
provisions relating to the equal quality or quantity of the object being
exchanged;
b. Riba nasa' or riba yad is the exchange of similar ribawi objects
whose value/amount/ measure/scale is the same, while one of the
exchange objects is handed over non-cash (tough), or the handover of
the two exchange objects is carried out in a formidable manner. This
usury is a violation of the necessity of cash in the payment of prices
(yadan bi yadin);
c. Riba nasi'ah in buying and selling is a combination of riba fadhl and
riba yad. According to Rafiq Yunus al-Mishri (2012) usury nasi'ah in
 this context is the accretion of similar usury assets that are exchanged
and the surrender is carried out in a formidable manner (non-cash /
ta'jil).

5. CONCLUSION
The word riba comes from Arabic, etymologically meaning to increase (al-
ziyadah), grow (an-numuw), increase/become tall (al-'uluw), loom (al-rif'ah) and
increase (al-rima). In fiqh terminology, usury is an addition / excess of the principal
of the debt that is promised / required in exchange for the debt repayment period.
Usury is absolutely, clearly and unequivocally illegitimate, both for few and many,
both for consumptive needs and for productive needs.
According to jumhur ulama, usury is divided into two types, namely usury
that occurs due to debts called riba qardh / riba duyun, and usury that occurs due to
buying and selling or commonly called riba buyu'.
The maqashid (target/purpose) prohibition of usury according to fiqh scholars
is because in the practice of usury contains elements of tyranny, prevents
exploitation of borrowers (muqtaridh), violates the rules of al-ghunmu bil ghurmi
and the rules of al-kharaj bid dhaman, violates the nature of the debt-receivable
contract as a benevolent contract (tabaru'at), avoids the practice of gharar, and
violates the function and purpose of money, namely as a medium of exchange and a
medium of storing value / price.
Jumhur ulama (Hanafi imam, Malik imam, Shafi'I imam, and Ahmad ibn
Hanbal imam) agreed on ribawi treasures (amwal ribawiyat) which are the six types
of goods mentioned in the hadith of Prophet Saw narrated 'Ubadah bin Shamit,
namely: gold, silver, wheat, millet, dates, and salt. The 'illat type of currency is
tsamaniyyah (its existence as a currency / price standard). While 'illat type of food
(ath'imah) is any type of food although not a staple food, such as bread, rice, sago,
etc. is included amwal ribawiyat.
Additional criteria (dhawabit) in illicit or prohibited receivables because they
fall into the category of usury qardh are: 1) additional required or promised in the
contract; 2) additional gifts or grants are given before the due date of repayment or
before the debt is paid off. The additions that are not promised in the contract and
given at the time of voluntary repayment do not include usury. It even includes the
best debt repayment (husnul qadha) according to the hadith of Prophet Saw.
The rules for the formulation of usury for buying and selling according to the
fiqh scholars refer to the hadith of the Prophet Saw narrated 'Ubadah bin Shamit,
are: 1) If there is a transaction (buying and selling) between one kind of usury goods,
then the conditions must be the same quality and quantity, it must also be done in
cash; 2) If there is a transaction (exchange/buying and selling) between two different
types of usury goods, then the condition must be cash (taqabudh) and can set a
margin; 3) If there is a transaction (exchange/buying and selling) between currency
and commodities/goods, it does not have to be cash and does not have to be equal
in value, what is referred to is the agreement of both parties.