RIBA

Muhammad also forbade ribA, which includes both usury and interest.  He �cursed the accepter of interest and its payer, and one who records it, and the two witnesses�; and he said: �They are all equal� (3881).

Though he forbade interest, Muhammad himself sent AbU Bakr to the QainuqA tribe of Medina with a message bidding them to �lend to God at good interest,� using the very words of the QurAn, �to lend to God a goodly loan� (5:12).  When they rebuffed him, their fate was sealed, and they were driven away from their homes.

author : ram swarup