Q 3: What is the ruling on
receiving monthly stipends from usurious banks
where the university deposits the money for stipends, such as Cairo bank?
It is not permissible
to deposit money in banks which deal in Riba, because this is collaborating in sin, and Allah (Glorified be He) forbade that as He said:
Help you one another in Al-Birr and At-Taqwâ (virtue, righteousness and piety); but do not help one another in sin and transgression.
This money should be taken and deposited in banks which do not deal in usurious dealings. If one
can not find an Islamic bank and fears lest his money should be lost, he is permitted to deposit in such banks without taking interest.
May Allah grant us success. May peace and blessings be upon our Prophet Muhammad, his family, and Companions.