The ruling on selling a car for a car with the difference paid in cash
Machine translationRead the Arabic original
Question:
Honorable Shaykh, some car dealers exchange cars for cars and pay the difference. Does this fall under riba (usury or interest)?
Answer:
No, it is permissible to sell a car for a car and pay the difference. There is no obstacle, because cars do not fall under riba. They have become manufactured items; manufacturing has taken them out of the category of riba, just like vessels, weapons, and equipment. If their original material is subject to riba because it is weighed, but once manufactured, the manufacturing process has taken them out of the category of weighing. Therefore, buying and selling them is permissible, and riba does not apply to them. Yes.
Honorable Shaykh, some car dealers exchange cars for cars and pay the difference. Does this fall under riba (usury or interest)?
Answer:
No, it is permissible to sell a car for a car and pay the difference. There is no obstacle, because cars do not fall under riba. They have become manufactured items; manufacturing has taken them out of the category of riba, just like vessels, weapons, and equipment. If their original material is subject to riba because it is weighed, but once manufactured, the manufacturing process has taken them out of the category of weighing. Therefore, buying and selling them is permissible, and riba does not apply to them. Yes.
Source
شرح بلوغ المرام من أدلة الأحكام [ صالح الفوزان ]، تتمة باب الربا — islamhouse.com (33:49)
The Arabic text is a machine transcription of the audio recording.