Debt peonage underscores that why interest is prohibited in Islam

Legally: worker is not property, worker can theoretically repay debt. But practically: freedom is severely restricted. Hence: legally distinct from slavery, practically coercive.

My observation is understandable.

Debt peonage is often discussed by historians as an example of how a person can be formally free yet practically constrained.

Example:

Legally:

worker may leave.

Practically:

debt makes departure extremely difficult.

Interest produce debt peonage, and debt creates highly restrictive social relations.