What is the difference between the form of the traveler’s check mentioned earlier and the form of deposit?

Al-Halabi : All right, Shaykh, a questioner might ask: What is the difference, then, between the form of the traveler’s check mentioned earlier and the form of deposit? In reality, this is a deposit, and its disbursement may be delayed. The money may be delayed for a month or two. He has money that he does not disburse; he does not disburse the traveler’s check until he knows that his money will last for two months. So during those two months, the bank will be processing his money and benefiting from it through riba (usury or interest) in a very strange way. So at that point, it is said: What is the difference between this form and the form of deposit, Shaykh?

The Shaykh : My brother, the form, as you know, differs in some parts. For example, with a transfer, if you deposit money here to be transferred there, that is also a type of assistance to the bank. But as we say, some of our brothers whom we know will tell the one who wants to pay him by bank check: We say to him, there is no harm, but on the condition that the check does not remain at the bank to be dealt with for a long period. If possible, it should be redeemed on the same day it is handed over. The strength or weakness of the disliked benefit differs from one form to another. So we cannot classify the matter such that we equate what is forbidden except for dire necessity with what is permissible for a pressing need, which is less than dire necessity.

The questioner: Yes.

The Shaykh : Yes, and I see that as long as the one who pays takes it at the earliest possible time, at the earliest possible time, the case differs from the form of deposit that you referred to.
Al-Halabi : ... Shaykh, this is an important condition to point out, as you indicated.

The Shaykh : It is this, meaning...
Al-Halabi : May Allah reward you with good.

The Shaykh : And beware of that.

The questioner : ... Shaykh, if we lengthen this topic, but we have learned, and now we have heard from some of the brothers, that this check is in dollars. This is not like an ordinary check, my brother Ali. This is the dollars themselves...
Al-Halabi : He is talking about the money he put in...

The questioner : I agree with you, my brother. It is the same check. It is dollars. This traveler’s check has the same value as dollars.

The Shaykh : Meaning, he wants to say that he did not deposit it in the bank.

The questioner : No, he did not deposit it in the bank.

The Shaykh : He wants to say he did not deposit it.

The questioner : Yes, my Shaykh.

The Shaykh : Because he received what was left; this one put it in, and he took it...
Al-Halabi : But this, Shaykh, is not correct.

The Shaykh : Why? Why? Why?
Al-Halabi : Now, when he gives them dollars, they give him a check. The value is not in this check.

The questioner : Like the dollar, like the dinar, Shaykh...

The Shaykh : Wait, excuse me...
Al-Halabi : Meaning, now if someone takes it, he cannot benefit from it. We return to the same matter.

The Shaykh : Look, Abu...
Al-Halabi : I say, therefore, my question now, excuse me, Professor, one minute.

The Shaykh : Please.
Al-Halabi : My question now is: Does the check remain a check forever, or do they exchange it directly for dollars?

The questioner : Like the dinar...
Al-Halabi : You want a dollar.

The questioner : As long as he has a need to disburse it, the hundred dollars, he will disburse it. And the check for a hundred dollars, the Shaykh also disburse it. So there is no difference, Shaykh, that it is an ordinary drawing of the dollar, but he disburse it from its place, unless it is its owner. But this, Shaykh, and the customary check, Shaykh, the known one between us, is not disbursed except in the bank, and you only have a balance there. But this one, you can disburse it anywhere.

The Shaykh : Other than that, my brother.

The questioner : Allow me, Shaykh.

The Shaykh: Go ahead.

The questioner : Another question.

The Shaykh : That is it.

The questioner : ... questions.