Issue: Selling cars on installment for a deferred price that is higher than the cash price is permissible and is not one of the forbidden ruses.

The Shaykh : As for selling cars from one who has them to a person who wants that specific car for a deferred price that is higher than the cash price, there is nothing wrong with it, and it is permissible by consensus, as stated by the Shaykh al-Islam Ibn Taymiyyah. For example, I need a car, so I go to a car dealer who sells cars for twenty thousand, and I say to him, "I do not have the money right now; sell me a car for twenty-five thousand, and I will give you five hundred riyals every month." The dealer says, "There is nothing wrong with it." Is this permissible or not? It is permissible, even if the dealer gives him the choice and says, "This car is either twenty thousand cash or twenty-five thousand deferred," and he says, "I will take it for twenty-five thousand deferred." There is nothing wrong with this, and this is not selling money for money. Selling money for money would be if I sell it for twenty thousand, and then he comes to me and says, "I do not have twenty thousand; defer the twenty thousand for a year for twenty-five thousand." That is forbidden. But if he buys the car originally for twenty-five thousand, the contract here is not for money for money, but for a commodity for money. It became a commodity for money. And we say, if the buyer buys from you the car that is worth twenty thousand for twenty-five thousand, is it permissible or not? If someone comes to you and says, "You sell this car for twenty thousand, and I will buy it from you for twenty-five thousand cash," is it permissible or not? It is permissible, there is no problem. If this is permissible, why is it not permissible if the seller says, "I will wait for you with the twenty-five thousand; I want to defer the twenty-five thousand for you"? He has increased the good and treated him well. And with this, our lesson for today ends, and we will take questions, if Allah wills.