Giving loan to a needy man is an act of great merit. Abdullah ibn Masud has quoted the Prophetic words "Every loan is a sadaqah", (Baihaqi and Tabrani)
Some ahadith tell us that the merit of giving loans needy man is more than that of a sadagah. (Targhib. Tabrani and Baihaqi).
This is probably because a loan is usually of amount which is not intended as sadagah, and is given to needy person, who does not beg, and so its merit and reward arc correspondingly higher.
Some ahadith tell us that the merit of giving loans needy man is more than that of a sadagah. (Targhib. Tabrani and Baihaqi).
This is probably because a loan is usually of amount which is not intended as sadagah, and is given to needy person, who does not beg, and so its merit and reward arc correspondingly higher.
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