2:278Al-Baqara

"The last thing to be revealed was the Verse on usury but the Messenger of Allah (ﷺ) died before he had explained it to us. So give up usury (interest) and doubtful things."

Abu Sa'eed Al-Khudri recited this Verse: “O you who believe! When you contract a debt for a fixed period...” until: “then if one of you entrusts the other.” Then he said: “This abrogates what came before.”

The Messenger of Allah (ﷺ) as saying: Gold for gold is interest unless both hand over on the spot ; wheat for wheat is interest unless both hand over on the spot ; dates for dates is interest unless both hand over on the spot ; barley for barley is interest unless both hand over on the spot.

Ubadah bin Samit Al-Ansari, head of the army unit, the Companion of the Messenger of Allah (ﷺ), went on a military campaign with Mu'awiyah in the land of the Byzantines. He saw people trading pieces of gold for Dinar and pieces of silver for Dirham. He said: "O people, you are consuming Riba (usury)! For I heard the Messenger of Allah (ﷺ) say: 'Do not sell gold for gold unless it is like for like; there should be no increase and no delay (between the two transactions).'" Mu'awiyah said to him: "O Abu Walid, I do not think there is any Riba involved in this , except in cases where there is a delay." 'Ubadah said to him: "I tell you a Hadith from the Messenger of Allah (ﷺ) and you tell me your opinion! If Allah brings me back safely I will never live in a land in which you have authority over me." When he returned, he stayed in Al-Madinah, and 'Umar bin Khattab said to him: "What brought you here, O Abu Walid?" So he told him the story, and what he had said about not living in the same land as Mu'awiyah. 'Umar said: "Go back to your land, O Abu Walid, for what a bad land is the land from where you and people like you are absent." Then he wrote to Mu'awiyah and said: "You have no authority over him; make the people follow what he says , for he is right."