Certificate Of Deposits And Annuities
Fixed profit or the fixed rate of profit does not make an investment haram. Depositing with banks is making an investment with banks, and profit is halal.
Is the profit on Certificate of Deposit and Annuities considered RIBA? If not do we have to pay zakat on it even if we don’t use it but re invest it when the CDan Annuities mature? Please advice @Irfan76 Thanks
It is not Riba that is why it is halal. Zakat is due when you have extra money in the form of savings and/or investments. Extra money means that it is more than your immediate needs or future needs that are unavoidable, like paying your tuition fee or saving for marriage, etc.