Parshas Mishpatim

"What !! You lent him $10,000 and you think he can still say that he can't 'break a rule' for you ??"

"When you lend money...to the poor man among you, do not act as if you have power over him." (Shemos 22:24 according to Targum Onkelos)

Even when you do a good deed, don't think the world owes you something: G-d rewards us for our mitzvos!!

Have a great Shabbos !!

Rabbi Chaim Flom

Shalom Rabbi.

Is it that we are living in a world Tohu, that it is lacking? You mean that the capacity of being Jessed is walking along Torah. As a judge that honors Hashem (Hakadosh Baruj Hu)by being equally objective over giving a sentence. All that is said comprehend our obligation to the 10 commandments still. Todah rabah

lej Leshalom

The Torah tells us that we can't take Ribit (interest) when we lend money to the poor (or any Jew).

The way poor people often borrow money today in Israel is by withdrawing from the bank money which they don't have (overdraft)

So basically one person puts his savings in the bank. The poor person comes and withdraws that money. He is actually taking a lown and he is chraged interest. As time goes on the interest adds up and he ows more and more money. He gets to the point where he has no way of returning the money and often ends up having to sell his possesions.
This is all made kosher by a piece of paper on the wall which says that all the transactions taking place in the bank are business transactions - "Heter Iska"
And with this piece of paper we get around the commandment of not taking Ribit.

Now this Heter is not a new one. It comes from Chazal and is thus 100% legitimate.
However I don't think this is what Chazal had in mind. I think they were thinking of actuall business transactions.

I think in a Jewish State the banks should be different than in the rest of the world. Heter Iska should be more than just a peice of paper. The Bank should actually be involved in business transactions, where they become business partners in investments.
By doing this we will be able to differentiate between real Iskot (business deals) and loans to the poor.

When it comes to the poor person, he needs to get loans free of interest.
The bank may not be the proper place for this.
There are Gmachim in Israel especially in the Charedi communities where one can get loans with out interest. We need to support more Gmachim.

B`H
Shalom:

I agree with you, but you have to remember that the Bank must comply with important functions in a community, such as holding the value of money benefiting all agents Poor and Rich as opportunities raise to those that find investment and jobs a way to better contribute to the betterment of our fellow citizen.

What the bank may do I believe many do It is the directing funds toward the needy one through Foundations and charity organizations.
However, what´s there to be first it is the importance to comply or to do a Mitzvot as Torah teaches as a most important duty.

Toda rabah

A Bank is a business.
With my suggestion the bank will still be able to hold the value of money and will still help make investments. (Maybee even more investments than it does today)
A bank will make business deals and will share in the profits or losses.
The main point is to prevent the Bank from taking Ribit from the Poor (and thus making him even poorer)

B´H
Shalom:

A few remarks on this topic if you allow me please.

1. The Torah teaches the prohibition to charge interest in :
a. When the Capital asset is given as loan previuosly agreed upon regarless of lenders conditiion.

Chavos Daás 166, Toras haRibis 1:32, It is allowed for a vendor to received a bonus money considered interest money on delayed payment after a buyer holds property of an item. I believe this is then the ruling for Heter Iska.

Our sages (Chazal) included a more broader restriction in order to avoid transgression of negative commandment D´oraisa as the Guemara (71a) states "One who charges interest will see his assets collapse".

quote:

Chavos Daás 166, Toras haRibis 1:32, It is allowed for a vendor to received a bonus money considered interest money on delayed payment after a buyer holds property of an item. I believe this is then the ruling for Heter Iska.

I've considered that not "causing another to take interest" could perhaps be seen as a requirement to repay on time -- that perhaps a loan should be given freely until a date the lender expects to need the money for themselves, and *if* repaid late, they will suffer a loss, and are entitled to be compensated.

Thus a loan document to my thinking would cause a lender to take interest only on occasion of a borrower failing to keep to the repayment terms.

I think my credit card works this way, that if I do not pay for my purchases by the statement closing date grace period, I will have to pay (causing them to take) an interest penalty.


How is my thinking wrong?

B´H
Shalom

I am not an expert but this post has given the chance to get into it which I say Todah.

As I understand The Torah is very clear as far as prohibiting interest (Ribbis) over the Capital given as a loan and receiving a benefit that might be considered Ribbis. The Heter Iska converts this dealing in investment asociations jumping over the restriction turning them in conformity with halaja as many Poskim teach.
Because of all ramification which can be worked out as far as receiving money or goods the particular facts had been explained by Chazal.

I understand that in order to be considered Ribbis a sum of money for a Good which is being passed to your assets, you will have to established an exact date of payment, that you do not accord as far as credit card contract is concerned so very well it might not be considered as having paid Ribbis ( to my very limited knowledge). One thing I considered very important is that both payer and receiver of Ribbis transgress the Mitzvha.

As reading Likutei Sijot III pages 1007-1011, we have to understand that the important matter is that the presence of H-shm Hakadosh Baruj Hu is in front of us giving us all capital created by his decreed and pushes us to connect to his feeling of jessed and be united and not to hold responsible of the misfortune of a fellow jew, as G-d has given for us to benefit from this physical world we have to allow our fellow jew to use it with the sole purpose of bringing G-d´s presence to this physical world. I have to think that by allowing to care and protect of all goods created we must also have the duty to increase resources that very well would be put to use in order to increase opportunities for those fellow jew that might need funds and this might be the philosophy vision in aid funds held by every community.

Todah rabah

quote:

Originally posted by Rabbi Flom:
Parshas Mishpatim

"What !! You lent him $10,000 and you think he can still say that he can't 'break a rule' for you ??"

"When you lend money...to the poor man among you, do not act as if you have power over him." (Shemos 22:24 according to Targum Onkelos)

Even when you do a good deed, don't think the world owes you something: G-d rewards us for our mitzvos!!

Have a great Shabbos !!

Rabbi Chaim Flom

Dear Rabbi Flom,
Is it forbidden because of ribis to say "thank you" when you return the money.
Thanks.
Lynn

Dear Lynn,
Saying "thank you " is a machlokes if it is called ribis. Many poskim hold that if it is something you normally do it is fine, but if you are doing it to butter up the giver it is ossur. Rav Moshe Feinstein zt"l held it is always ossur (forbidden), but held that you can acknowledge that Hashem will reward him for his act.
Take care.
Rabbi Flom