Do You Know Who the Truly Bankrupt Are?
The Prophet Muhammad (peace be upon him) elucidated the concept of true bankruptcy by questioning his noble companions: “Do you know who the bankrupt person is?” They responded, “The bankrupt among us is one who has neither dirham nor possessions.” The Prophet then clarified, “The true bankrupt of my nation will arrive on the Day of Resurrection with prayers, fasting, and almsgiving, but he will also have insulted this one, slandered that one, wrongfully taken the wealth of another, shed the blood of another, and struck this one. Consequently, this person will be given some of his good deeds, and that person will receive some as well. If his good deeds are exhausted before settling his debts, then the sins of those wronged will be cast upon him, and he will ultimately be thrown into the Fire.”
The companions interpreted the Prophet’s question to mean a person devoid of wealth or material possessions. However, the intention behind his question was to highlight a more critical issue: the genuine bankrupt on the Day of Judgment is the one who will lose everything due to their accumulated debts of good deeds, as they will have to repay all whom they have wronged.
The Reality of Bankruptcy in Islam
The Prophet (peace be upon him) illustrated that true bankruptcy in the Hereafter is characterized by an individual having many good deeds, yet they still fall short when it comes to distributing them among their creditors. This reflects the ultimate justice of Allah; if a wrongdoer were to possess many virtues and enter Paradise, the rights of the oppressed would be neglected. Thus, it becomes imperative for the wrongdoer to face the consequences of their actions.
This individual’s state of bankruptcy stems from their hypocritical behavior during their worldly life, fulfilling religious obligations without genuine understanding of their purpose, while simultaneously harboring envy, committing injustices, insulting others, and causing harm. On the Day of Judgment, they will find their good deeds—earned through prayers, almsgiving, and fasting—overwhelmed by the debts owed to people whom they mistreated. As a result, they will have to repay these debts from their good deeds, which will not suffice given the extent of their wrongdoings. Consequently, they will be burdened with the sins of others and face eternal damnation.
The Consequences of Bankruptcy in the Hereafter
This hadith underscores the severe punishment awaiting those who fail to maintain their worship and devotion while causing harm to others, falling prey to the whispers and schemes of Satan. Allah requires that they repay their debts through their good deeds. If their good deeds are exhausted but there are still others demanding their rights, they will be forced to take on the sins of those wronged, ultimately leading to their demise in the Fire. These rights may arise from gossip, insults, slander, or wrongful appropriation of others’ rights, among other unjust actions.
The Prophet (peace be upon him) likened such a person to a bankrupt, where their good deeds are taken from them in the Hereafter just as their wealth is taken from them in this world. On the Day of Judgment, justice prevails, ensuring that no one is wronged, and the rights of the oppressed are restored from the oppressor.