The Difference Between Tawarruq Sales and 'Inah Sales
Machine translationRead the Arabic original
Question:
He says: Shaykh, what is the difference between tawarruq sales and 'inah sales, and what are examples of them?
Answer:
Tawarruq sales, which are intended to obtain paper money, that is, currency, are tawarruq sales, and there is nothing wrong with them. There is nothing wrong with tawarruq sales; you may sell a commodity to someone who needs it for a price in paper money, that is, silver. Tawarruq sales. 'Inah sales are when you sell a commodity for a deferred price, then buy it back from him, then buy it back from him again; this is forbidden and not permissible. If you sell a commodity for a deferred price, it is not permissible for you to buy it back from the person you sold it to on credit, nor to buy it back for less than its price. Rather, he should sell it to someone else if he needs to sell it. Yes.
He says: Shaykh, what is the difference between tawarruq sales and 'inah sales, and what are examples of them?
Answer:
Tawarruq sales, which are intended to obtain paper money, that is, currency, are tawarruq sales, and there is nothing wrong with them. There is nothing wrong with tawarruq sales; you may sell a commodity to someone who needs it for a price in paper money, that is, silver. Tawarruq sales. 'Inah sales are when you sell a commodity for a deferred price, then buy it back from him, then buy it back from him again; this is forbidden and not permissible. If you sell a commodity for a deferred price, it is not permissible for you to buy it back from the person you sold it to on credit, nor to buy it back for less than its price. Rather, he should sell it to someone else if he needs to sell it. Yes.
Source
نور على الدرب - الفوزان - 03/129 — archive.org (5:16)
The Arabic text is a machine transcription of the audio recording.