Assalamu Alaikum!
The money that is taken and given in the form of interest from Jewish banks—some scholars believe that taking and giving such money is permissible, particularly from those banks owned by Jews, because this money is used to kill Muslims and is used against them. Therefore, in any possible way, taking this money is considered permissible. Could you please clarify this matter in detail?
There is a difference of opinion among scholars regarding taking interest from non-Muslims in Dar al-Harb (a non-Muslim territory). Imam Abu Hanifah and Imam Muhammad (may Allah have mercy on them) considered it permissible, while the majority of scholars—including Imam Malik, Imam Shafiʿi, Imam Ahmad, and from the Hanafi school, Imam Abu Yusuf—regarded it as prohibited. The narrations and verses of the Holy Qur'an mention the prohibition of interest and its severe warnings in general terms. Therefore, the precautionary and preferred view is to consider it impermissible. (Source: Imdad al-Muftiyeen, p.751)