Q: A person asked me to make a credit card and provide him, he would be responsible for all credit card matters i.e. fees/charges and in return, he would pay me an amount of 1000 dollars. And I will pay 1000 dollars back in 12 equal monthly installments. I will not use the credit card benefits. Is this deal ok in the light of Islam?
A: The monthly fees which the bank charges the credit card holder for providing him with the credit facility is not recognized in Shariah and is regarded as riba (interest). Hence, it is not permissible for you to acquire a credit card for the person as you will be involving yourself in the sin of riba.
Apart from this, since the credit card will be on your name, you will be liable for the monthly charges as well as repaying the loan which he wants to take from the bank. If he does not pay the loan on time and it accrues interest, you will be liable to repay the loan together with the interest charged on the loan . Through this you will become sinful in the court of Allah Ta'ala.
If he wishes to give you a loan, but puts the condition that he will only give you the loan if you take out a credit card on your name and allow him the use of the credit card, then through this, he is taking some benefit from the loan he is giving you. Hence, this will not be permissible in shariah as the Hadith has mentioned that any benefit that a one takes through a loan agreement is riba.
And Allah Ta'ala (الله تعالى) knows best.
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