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﴿ فَاسْأَلُوا أَهْلَ الذِّكْرِ إِن كُنتُمْ لَا تَعْلَمُونَ ﴾

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The ruling on exchanging coin currency for paper currency with an increase

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Question:
A question about currency exchange, which is buying one currency with another and the like. He says: What is the ruling on buying coin currency with paper currency, but for more? For example, he buys nine riyals in coins with ten riyals in paper?

Answer:
The default is that this is not permissible, because this currency is one: a Saudi riyal for a Saudi riyal. It is one type, but this is made of nickel or metal and that is made of paper, yet the issuing state is one. So the type of currency is one. The Prophet (peace and blessings be upon him) said:
Do not sell gold for gold unless equal in weightالذهب بالذهب مثلا بمثل
Sahih al-Bukhari 2176
, and this takes the place of gold for gold or silver for silver. So it is one currency, one type, and no increase is permissible in it. It must be a paper riyal for a coin riyal without any increase, because they are of one type. Yes.
Source قناة «العلامة الدكتور صالح الفوزان»، محاضرات في العقيدة والدعوة-026-الربا وخطره|صالح الفوزان|كبار العلماء — youtube.com (1:03:35)

The Arabic text is a machine transcription of the audio recording.

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