Al-salam aleikom,
I have a question concerning riba and mortgages.
Here in Sweden, where I live, there is no interest-free bank or loaning option. But there are so called ethical banks.
I have a bank account in one of these, called JAK. The bank is owned by its members and is profit-free. Having a mortgage would mean paying 1,95% interest, but that money only goes to necessary administrational costs. Whatever is left will be re-invested in the bank. One has to be a member in the bank in order to take a loan. The more members the bank has the lower the interest will be. The bank is not controlled by the market interest.
Would the interest payed for a mortgage still be considered riba?
Jazak Allah kheir.