1- Riba is an Arabic word which means 'increase, addition, expansion or growth,' and refers to the additional amount which a lender recovers from the borrower according to a fixed rate over and about the principal amount.
According to Qur'anic illustrations, the literal meaning of Riba is "increase". In shariah, it means "an addition, however slight, over and above the principal". Riba is, therefore, the premium that is recovered by the lender from the borrower along with the principal amount as a part of lending arrangements, or for an extension in the maturity period of loan.
2- In the new encyclopedia Britannica, usury is explained as compensation for the use of money regardless of the amount, according to earlier English law.
3- Encyclopedia American- International edition (1970) says;
Interest is a charge for the use of money.......interest has not always been considered a legitimate or even moral payment. Until the end of middle ages, any charge for a loan was generally considered to be usury. The teaching of Christians, Judaic and Islamic religion, all condemned in varying degrees, money lending at interest.
In more recent times, usury has come to be regarded as only the charging of illegal rates of interest.
According to Qur'anic illustrations, the literal meaning of Riba is "increase". In shariah, it means "an addition, however slight, over and above the principal". Riba is, therefore, the premium that is recovered by the lender from the borrower along with the principal amount as a part of lending arrangements, or for an extension in the maturity period of loan.
2- In the new encyclopedia Britannica, usury is explained as compensation for the use of money regardless of the amount, according to earlier English law.
3- Encyclopedia American- International edition (1970) says;
Interest is a charge for the use of money.......interest has not always been considered a legitimate or even moral payment. Until the end of middle ages, any charge for a loan was generally considered to be usury. The teaching of Christians, Judaic and Islamic religion, all condemned in varying degrees, money lending at interest.
In more recent times, usury has come to be regarded as only the charging of illegal rates of interest.