Title: Further Exchange... Question/Comments: Please answer my particular inquiry and don't send me what you have already said so far about 'Riba' to figure out myself. Thank you. How can interest be regarded as Zulm [1] in todays' world where everyone is taking benefit from the banking system? How can we say that it is injustice where as its the reward for capital? What is wrong if people deposit in banks to get a fixed return on their savings. The people who get funds after retirement are taking benefit of this service, savings of a late father is banked so that it can help the orphan children and widow, savings of a person who is busy doing his job can earn him extra return on the fund he cannot earn otherwise. And what is wrong if a bank charges extra percentage for lending to businesses? After all, they are also providing a service and they must earn profit. Can we not see that the interest-based banking system has proved its usefulness for the world? The people in capitalist countries are generally better off than any country with command economy. Since you say that Qur'an did not use the word RIBA as a term and we have to use it in its literal meanings, Can we not say that in the Qur'an the word 'Riba' will mean how the word was used in those days and in those days it was used for non-institutional credits. Isn't Institutional credit & banking system an exception to it? Thank you. Answer: I had only referred you to one of my previous articles, to avoid repetition. However, because you would like me to answer your question directly, I would suggest that rather than take examples of 'supporting the widows and the retired', we should first of all only try to determine the justification of charging 'Riba' . In case it be justified to charge Riba , it should be considered as legally justified in all cases. If it is not, then we should not try to find exceptions to its non-justification (for, obviously, it is not the exceptions for which broad rules should be framed). I would request you to explain to me the justification, in your opinion, of charging interest (riba) on a loan. This justification may kindly be given without any reference to the use to which the loan shall be put. The loan may have been taken for the marriage of one's daughter or for starting a business; it may be given by an individual, an institution or a government agency. I would suggest that you specially give your point of view regarding the following question: Why - on what basis - would the borrower [2] demand a predetermined rate of increase on the amount that he has actually lent? I look forward to your response. February 12, 2001 [1] i.e. injustice. [2] The word should actually be 'lender', as pointed-out in the next letter.