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The Prophet ﷺ was known for his generosity, benevolence, magnanimity, and liberality. These attributes have slightly different meanings:
1. Benevolence (karam). Scholars say that is to spend cheerfully in what is important and useful. They also call it courage and the opposite of baseness.
2. Liberality. This is to forgo what one is owed by others cheerfully. It is the opposite of ill-nature.
3. Magnanimity is to spend easily and to avoid the acquisition of what is not praised. It is the opposite of tightfistedness.
The ﷺ Prophet had no equal in these noble qualities and no one exceeded him in them. The Prophet ﷺ was the most generous of people, especially in Ramadan. Ibn ‘Abbas said:
The Prophet ﷺ was the most generous of all the people, and he used to become more generous in Ramadan when Gabriel met him.
All who knew him ﷺ would describe as exceedingly generous.
Some accounts from the sirah:
Ibn al-Munkadir heard Jabir ibn ‘Abdullah said, “The Messenger of Allah ﷺ was not asked for anything to which he said, ‘No.’"
Anas said, “A man asked him ﷺ for something and he gave him all the sheep between two mountains. The man returned to his people and said, ‘Become Muslim. Muhammad ﷺ gives the gift of a man who does not fear poverty."
A man came and asked him ﷺ for something. The Prophet ﷺ said, “I do not have anything, but buy something on my account and when I get some money, I will pay for it.” ‘Umar said to him, “Allah has not obliged you to do what you are not able to do!” The Prophet ﷺ disliked that, so a man of the Ansar said, “Messenger of Allah! Spend and do no fear diminution from the Master of the Throne!” The Prophet ﷺ smiled and the pleasure could be seen in his face. He said, “I am commanded to this.”
It is mentioned that Mu‘awwidh ibn ‘Afra’ said, “I brought the Prophet ﷺ a plate of fresh dates and cucumber, and he gave me a handful of jewelry and gold.” Anas said, “The Messenger of Allah, may Allah bless him and grant him peace, did not store up anything for the next day.”
Sources: Al Shifa of Qadi Iyad