Disposing of riba income
Interest (riba) cannot be kept or used. But neither should it sit in a bank account. The correct course is to give it away to general charity, without expecting any reward.
Allah destroys interest and gives increase for charities. And Allah does not like every sinning disbeliever.
— Qur'an 2:276
Everything you need to know before you give.
Allah forbade riba in the Qur'an. If you've earned interest from a bank account, ISA or any conventional investment, that money cannot be kept by you, but you should not throw it away either.
The agreed scholarly position is to give it to the poor or to general public benefit, without intending it as Sadaqah for yourself. You don't earn reward, but you fulfil your duty to dispose of the haram money cleanly.
Anyone holding money in conventional banks, ISAs, or investments that have generated interest. Mortgages, credit cards, and student loans typically don't apply (those are interest paid out, not received).
As soon as you identify it. Many people do an annual audit at the end of the tax year, transfer the interest into a separate account, and donate it in one go.
The exact total interest your accounts have earned. Round up to the next whole pound to be safe, never down. Use your bank statements; for ISAs, your annual summary.
Riba income is tagged separately in our accounts so it never substitutes for the donor's Zakat or Sadaqah, and is never claimed for Gift Aid. It funds general welfare needs:
Riba donations are processed under the same Stripe rails as other gifts, but receipted with a separate code so your records distinguish them from rewardable Sadaqah. We email an annual summary every January for your tax records.
If you want to switch to Islamic banking, common UK options include Al Rayan Bank and Gatehouse, we don't endorse a specific provider.
Your impact
Riba donations cover the same operational and welfare needs as Lillah, utilities, food, basic supplies. Because you don't earn reward for this gift, we tag it internally so it never substitutes for your Zakat obligation.
No, the classical position is that you don't earn reward for disposing of haram wealth. The intention is simply to discharge it cleanly, not to give Sadaqah.
No. Zakat must be from your halal wealth. Interest is a separate disposal duty.
Cashback on debit purchases is generally accepted as a discount, not interest, and may be kept. Cashback on credit cards is debated. Ask one of our scholars via the Q&A form for your specific case.
Yes, for your own peace of mind, keep the donation receipt alongside the bank statement showing the interest earned. We email a receipt for every gift.
