USB

U.S. Bancorp

HARAM — SCREEN DOES NOT PASSstock

Is USB Halal?

Regional bank with interest-based lending operations.

What You Should Know

U.S. Bancorp provides conventional commercial and consumer banking. Its March 31, 2026 Form 10-Q reports $700,998 million of assets, $79,220 million of interest-bearing debt, $48,420 million of cash, $168,906 million of investment securities, $395,078 million of loan receivables and $7,260 million of quarterly net revenue. Debt/assets is 11.30%, liquidity/assets is 31.00%, receivables-plus-cash/assets is 63.27% and net interest income is 58.72% of revenue; FTSE and MSCI asset screens fail and the banking core is non-compliant.

⚠️ Concerns

  • Banking operations are riba-based
  • Receivables-plus-cash/assets 63.27% exceeds examined limits
  • Commercial and consumer loans
  • Interest-bearing deposits

Current quantitative Sharia screen

Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-15.

USD · millions
Interest-bearing debt / assets
11.30%Within limit
Below 33.333% under FTSE Yasaar

79,220 / 700,998

Cash + interest-bearing securities / assets
31.00%Within limit
Below 33.333% under FTSE Yasaar

217,326 / 700,998

Receivables + cash / assets
63.27%Above limit
Below 50% under FTSE Yasaar

443,498 / 700,998

Non-compliant income / revenue
58.72%Above limit
No more than 5% under FTSE Yasaar

4,263 / 7,260

FTSE Yasaar
v4.6, February 2026
Financial
Fails
Overall
Fails

Debt/assets is 11.30%, liquidity/assets is 31.00%, receivables-plus-cash/assets is 63.27% and net interest income is 58.72% of revenue; the banking core also fails.

MSCI Islamic (total-assets series)
October 2024 methodology
Financial
Fails
Overall
Fails

Receivables-plus-cash/assets is 63.27%, above the examined MSCI limit; the conventional banking business fails independently.

Malaysia SAC financial ratios
single 5% activity benchmark adopted November 2025
Financial
Pass
Overall
Fails

Debt/assets and liquidity/assets are below the examined Malaysia limits, but the conventional banking core fails; this is not an official classification.

Market-cap denominator methods
MSCI M-Series, S&P and Dow Jones methods differ
Financial
Not calculated
Overall
Fails

Market-cap methods are not calculated; the direct banking business independently prevents a pass.

Business-activity disclosure

U.S. Bancorp is a conventional commercial and consumer bank. Interest-bearing deposits, loans, mortgages, credit cards and related banking services are central to the business.

Limitation: The filing reports fee businesses alongside lending, but does not provide a scholar-approved permissible carve-out; the conventional banking core independently fails.

Purification

U.S. Bancorp discloses $4,263 million of net interest income, but purification cannot cure a direct core-business failure.

Inputs, assumptions and primary sources
  • Amounts are USD millions from U.S. Bancorp's March 31, 2026 Form 10-Q.
  • Interest-bearing debt includes $17,859 million of short-term borrowings and $61,361 million of long-term debt; customer deposits are client funding and are not counted as corporate debt.
  • Cash is $48,420 million and held-to-maturity plus available-for-sale investment securities total $168,906 million; trading and restricted balances are excluded from this proxy.
  • Accounts receivable use net loans of $392,150 million plus $2,928 million of loans held for sale; quarterly net revenue is $7,260 million and net interest income is $4,263 million.
  • Commercial and consumer banking, deposits and lending are treated as a direct business-activity failure; this is not an official classification.

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

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