Qard Al Hassan (literally, a goodly loan) is an interest-free loan where the borrower is only obligated to repay the principal amount (Asl al-Māl). It is a cornerstone of Islamic social finance and is regarded as an act of Ihsan (benevolence).

• Prohibition of Riba: Fully Shariah-compliant; charging or paying interest is strictly prohibited.
• Spiritual Reward: Lending is an act of Ihsan, carrying spiritual benefit (Thawab) rather than financial gain.
• No Expected Return: No excess repayment is stipulated; voluntary gratitude is welcomed but not required.

Qard Al Hassan is provided to meet genuine financial needs, supporting social development and immediate community welfare rather than commercial profit.

• Financial Hardship: Individuals facing crises or essential expenditures (medical, education, emergencies).
• Small-Scale Enterprise: Initial capital for micro-businesses or vulnerable enterprises.
• Community Upliftment: Supports social initiatives for the wider community.

1. Application & Niyyah (Intention): Borrower submits request with clear repayment intention.
2. Due Diligence (Tahayyuz): Verification of genuine need and repayment capacity.
3. Aqd (Contract) & Disbursement: Formal agreement specifies principal and schedule only.
4. Repayment (Saddād): Borrower repays exact principal; extensions possible in hardship.