Using Zakaat to clear a debt
Question
A Muslim brother owes me a significant amount of money. A Muslim friend of mine is willing to pay the Muslim brother’s debt with Zakaat money. How can this be done Islamically?
Answer
In principle, a creditor may accept the repayment of a loan from a third party on behalf of the debtor provided that the debtor is an eligible recipient of Zakaat and authorises the third party to do so.
Hence, in the enquired situation, if the Muslim brother (the debtor) is an eligible recipient of Zakaat and he authorises your Muslim friend (the third party) to repay the loan owed to you (the creditor), it will be permissible for you to accept the repayment of the loan and the Zakaat will be discharged.
And Allah Ta’ala Knows Best
Fatawa SA is an independent, read-only index of fatawa already published by Jamiatul Ulama KZN. It is not a fatwa service. For your own situation, ask the issuing Darul Ifta directly.