AFFIRM PROVIDES THE FOLLOWING HETER ISKA (“ISKA”) FOR ALL CUSTOMERS THAT ARE SUBJECT TO A RELIGIOUS PROHIBITION OF RIBBIS (INTEREST). THE FOLLOWING ARE THE PROVISIONS OF THE ISKA AGREEMENT: 

If Affirm or its Bank Partner (each referred to below as an “Investing Partner”) advance funds to you and that advance (or any other subsequent transactions) is a violation of Issur Ribbis, such transaction shall be structured as an Iska, and the sums so delivered shall be used by you for investment purposes. Notwithstanding this, your transaction remains a consumer-purpose transaction under applicable law. This Iska requires you to invest the funds in goods or services that you believe will generate profits. Investing Partner shall bear all losses, and you agree to share all profits with the Investing Partner. You must verify any claim of losses through the testimony of two acceptable witnesses in a Jewish court of law (“Beis Din”). You must verify all claims of profits generated by the investment with a solemn oath, administered by Beis Din.

In the event you intend to make a claim of a loss or a lack of profit, (i) you shall provide written notice (a “Notice”) via email to the Investing Partner within thirty days of the end of the relevant month; and (ii) upon receiving confirmation of your Notice, the Investing Partner may demand full and immediate payment of the remaining balance of this Iska. If you do not provide a Notice, then it is acknowledged that the investment continued to generate a profit, and such monies shall continue to be invested by you.

You agree to manage this Iska investment in the manner deemed most beneficial to the Investing Partner. Under no circumstances will the Investing Partner be responsible for any losses above the funds initially advanced.

In lieu of verifying all losses and profits in the prescribed manner, you have the right to pay the principal and interest called for by any Loan Agreement between you and the Investing Partner, as per the terms of said agreement(s) and, if you do so, the Investing Partner waives its right to demand verification of the profits and losses of the investment and you will retain any additional profit.

If the Investing Partner obtains funding that is not subject to Issur Ribbis, the Investing Partner retains the right to demand return of the Iska funds at any time. The Iska also terminates when you have made all of the monthly payments required under the Loan Agreement.

If the Investing Partner sells this loan to a third party not subject to Issur Ribbis, this Iska agreement is null and void while the Loan Agreement remains in full effect. If the Iska/loan is sold to a party subject to Ribbis, this Iska agreement remains in effect and the purchaser is deemed the Investing Partner.

For each advance or transaction resulting from this loan agreement that are subject or may become subject to the Iska, you acknowledge and declare at the time of authorizing the advance or transaction, with a confession equal to the testimony of one hundred witnesses, that you have  property and other assets equal to the amount of money being advanced by/through Affirm that can be used for investment purposes.

Additionally you – by approving the advance of the funds to the merchant or any transaction that under the Iska is deemed as advance of funds to you for Iska – agree to transfer your assets and property equal in value to the amount of that advance to Affirm. The money advanced on your behalf will be used as Kinyan Kesef [together with Kinyan Agav] to complete the halachic legal transfer.

For loans purchased by Affirm from a Bank Partner you authorize Affirm to repay the loan with the funds used for purchase of the loan and that advance will be deemed as Iska.

Affirm is authorized to receive the funds from any non-Iska purchaser or transferee as a return of the Iska investment. If this occurs, the Iska becomes null and void and the Loan Agreement remains in effect. This is conditional on Affirm not being required to repurchase the loan from the entity that the loan was sold or transferred to.

This Iska applies to any transaction to which you are a party, regardless of whether there is any reference to this Iska. When this Iska applies, the use of the term “loan” or “interest” in any applicable transaction document, should not be interpreted as an unconditional interest payment but interpreted and understood in accordance with this Iska. In the event of any conflict between the terms of this Iska and the terms of any other agreement signed by you and the Investing Partner, and only in any matter brought before a Beis Din, the terms of this Iska shall prevail. In all other forums, including a court of law or arbitration hearing as specified in the Terms or in your Loan Agreement, the terms of the Loan Agreement shall prevail. This Iska does not grant you a right to participate in a class or mass action lawsuit in court, arbitration, or Beis Din.

This Iska is entered into with the intention of being enforced solely in Beis Din as stated herein and is not (a) enforceable by a  court of the country in which you obtained your loan or arbitration forum as specified in the Terms or in your Loan Agreement; or (b) to be used as evidence outside of Beis Din.

Any disputes between the parties, including any assignee subject to this Iska, will be adjudicated by a Beis Din of The Bais Havaad with the address of 290 River Ave Lakewood, NJ 08701, United States of America.

The parties agree to submit their dispute related to this Iska to the jurisdiction of that Beis Din employing the Beis Din’s standard practice.

Subject to the limitations above, this Iska is legally binding on you and the Investing Partner. You and Affirm hereby declare that all transactions executed by means of this agreement are subject to this Iska when appropriate according to the laws of Ribbis.

This document is effective as of April 1, 2025 and all relevant transactions shall proceed according to the terms of this Iska. This Iska has been executed in an effective manner and with a proper Kinyan in a manner consistent with a halachic legal transfer and is not an “Asmachta.”