What are the conditions for the permissibility of tawarruq?

Question:
May Allah reward you, Your Eminence, father. The questioner asks: Is it permissible for a person to borrow from the bank through tawarruq, provided he adheres to its conditions, but for a non-pressing need, such as traveling for leisure?

Answer:
There is scholarly disagreement regarding the original ruling on tawarruq, because some scholars view it as a means of riba (usury or interest) or a stratagem to circumvent riba. Therefore, avoiding it is undoubtedly the safer course and clears one’s conscience. However, if one has a need for it and no one else will lend to him, there is no harm in doing so according to the majority of scholars, provided certain conditions are met. First, the commodity must be in the possession of the seller, who is the lender, before the contract is concluded; he must own it. Second, once the sale is completed, the buyer, who is the debtor, must transfer the commodity from the seller’s location and sell it elsewhere to someone other than the seller. If these conditions are met and there is a need for it, then there is no harm in doing so, if Allah wills. Yes.