The Creed of Compassion-Islamic Teachings & Answering Doctrinal Misconceptions

Issue No.1959- If the debt is really specified, but the debtor and the creditor do not know its quantity or category at the time of assigning the transfer, the transaction is in order. For example, if a person has recorded the debt he owes to someone in his notebook, assigns a transfer of debt before checking the notebook, and later, after consulting his records, informs the creditor about the quantity of his debt, the transfer is in order, provided that the approximate amount of the debt is known.

Issue No.1960- The creditor may decline to accept the transfer of debt, whether the person to whom the transfer is made is rich or poor, good pay or poor pay.

Issue No.1962- Neither the transferor nor the creditor may revoke the transfer agreement. However, in case the person to whom the referral is made was poor at the time it was issued, and the creditor did not know this, the creditor can cancel the transfer. However, if he became poor later, or he was poor at first and the creditor knew it, the creditor cannot cancel the transfer.

Issue No.1964- Mortgage means that a debtor deposits some of his property with the creditor so that, if the debtor does not repay the debt, the creditor may retrieve his debt out of that property.

Issue No.1965- The mortgage agreement can either be pronounced verbally, for example, if the debtor says, “I leave this property as mortgage with you against that debt” and the creditor also says, “I have accepted it”, or that the debtor gives his property to the creditor with the intention of providing security for the debt and the creditor takes it with the same intention, the mortgage is in order.

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Issue No.1966- The mortgagor and the mortgagee should be mature and sane, and should not have been coerced by anyone. Moreover, they should not be mentally incompetent, or a bankrupt person who is prohibited from having discretion over his properties by the Islamic judge.

Issue No.1968- The property which is mortgaged should be permissible for purchase and sale. Hence, if wine, or a gambling instrument, etc., is mortgaged, the transaction is not in order.

Issue No.1970- The obligatory precaution is that a mortgage should not take place without delivering the mortgaged property to the creditor. However, in case the mortgage is done in such a way that for example, a house is mortgaged in accordance with a title deed, and then the title deed is given to the creditor so that if necessary, he can take his claim from the proceedings of its sale, though the debtor may be living in that house, there will be no harm in it.

Issue No.1971- It is not permissible to bring about changes which are in conflict with the mortgage agreement. Hence, neither the creditor nor the debtor can transfer a property [by selling it or give it as a gift or the like] which is mortgaged to another person without the consent of the other party. However, if one of them presents or sells the property to another person, and the other party permits this later, there is no harm in it. And the recommended precaution is that neither of them should utilise the property even in other than foresaid cases without the permission of each other, though it might not be in conflict with the mortgage.

Issue No.1972- If the creditor sells the property which is mortgaged with the consent of the debtor, the mortgage becomes void and the sale proceeds will not be considered as mortgage like the property itself, unless the permission of the sale is given with this condition that the sale proceeds would be instead of that mortgage.

Issue No.1973- If the debtor fails to repay his debts at the due time, the creditor can sell the mortgaged property and collect his debt and should give the amount in excess of his debt to the debtor, and if he has access to the Mujtahid or his representative, he should, as an obligatory precaution, get his permission in doing so.