The Concept Of Excessive Cost Of Borrowing Money

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The concept of excessive cost of borrowing money dates back to the earliest accord of “Barter”. It was a common practice amongst the ancient civilizations to charge a crude amount of excessive cost in their everyday borrowings. According to Andrew Beattie, in his work on “the history of money; from barter to cash notes to now bitcoins”, ancient civilizations predating to around 500BC and pre-Biblical times religion and cultures have from time to time defined the concept of the Interest, omnibus to both the interest and usury.
The history of Riba/Interest is rich particularly in the subcontinent and with the advent of the Islamic religion many subcontinent scholars have provided jurisprudence for this rather controversial area, building up
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The caravans and the trading activities made the Quresh tribe who were one of the controllers or the influential tribe to collect trading tax and permit transactions within the realm of the Mekkah city. Thus Mekkah city was a hub of trading and transactions of various commodities prominent including carpets, carpentry, wool, jewelry and drinks.
Thus the city and the traders also had a crude system of trading laws which allowed for loans and the cost of borrowing of such loans. Although not documented or stated in any written instrument, the earliest documented statement about riba in pre-Islamic time also widely known as the period of Jahiliyyah or the dark-age or the age of ignorance, as stated by Imam Malik:
"Riba in the Jahiliyyah was that a man would have a debt on a man for a set term. When the term was due, he would say, 'Will you pay it off or increase me? ' If the man paid, he took it. If not, he increased him in his debt and lengthened the term for him."
Thus it indicated the concept of Riba was though present, however there was no preset percentage neither any fixed charge. The charge dependent heavily upon the ability of the debtor (the one who owes money to the lender) and it can be increased at the discretion of the lender.
Another instance is to be found in the words Ibn Jarir;
“The riba of Jahiliyyah was a transaction whereby a person would sell something for a payment to be made at a specified
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