Government assistance

Q: I have an education saving account at the bank. Basically, we deposit money every month for education, and on top of that, the government puts 2.5% without us asking for it. Is this considered as interest?

A: If the 2.5 percent that the government gives is pure assistance then it is permissible provided the bank is not a government bank.

And Allah Ta'ala (الله تعالى) knows best.

 

Answered by:

Mufti Ebrahim Salejee (Isipingo Beach)