What is the ruling on installment sales?
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The questioner : His EminenceThe Shaykh : Is the installment system currently practiced in car dealerships, where a car is sold for thirty thousand cash or thirty-five thousand riyals in installments over one year, permissible? What is your opinion on this?
The Shaykh : Our view is that if a person buys a commodity worth one hundred in cash and buys it for one hundred and twenty in installments, there is nothing wrong with it, because it falls under the general meaning of the statement of Allah the Exalted:[Al-Baqarah 2:275] This does not include riba, deception, or any of the prohibitions in sales. The original ruling for sales is permissibility, and this is a principle that a student of knowledge must understand: the original ruling for all sales is permissibility, and indeed, the original ruling for all transactions is permissibility until evidence comes to prohibit them. We have previously recited a verse on this topic:
"The original ruling for things is permissibility *** and worship is prohibited except by the permission of the Lawgiver"
This is a principle regarding worship and other matters.
"The original ruling for things is permissibility *** and worship is prohibited except by the permission of the Lawgiver"
So, what is the original ruling for worship? It is prohibition. The original ruling for worship is prohibition except by the permission of the Lawgiver, and the original ruling for matters other than worship is permissibility except by evidence from the Lawgiver prohibiting them.
"The original ruling for things is permissibility *** and it is prohibited"
This condition, the one that says "worship except by the permission of the Lawgiver", yes. Now, the original ruling for sales is permissibility until evidence comes to prohibit them. However, we must know that installment sales are only permissible if the seller already owns the commodity. For example, a dealership owner to whom people come to buy cars, some paying cash and others buying on credit (in installments), there is nothing wrong with this. He sells to the one buying cash for thirty thousand and to the other for thirty-five thousand. Yes.
The questioner : May the Shaykh explain to us the etiquettes of following a funeral procession, from its initial departure from the place of the funeral prayer until the people finish leaving for the cemetery, because we see some people behaving in ways we do not know whether are permissible by the Shari'ah or not, including:
Some people recite the funeral prayer loudly on the way to the cemetery, prolonging it.
The Shaykh : Our view is that if a person buys a commodity worth one hundred in cash and buys it for one hundred and twenty in installments, there is nothing wrong with it, because it falls under the general meaning of the statement of Allah the Exalted:
But Allah has permitted trade
وأحل الله البيع"The original ruling for things is permissibility *** and worship is prohibited except by the permission of the Lawgiver"
This is a principle regarding worship and other matters.
"The original ruling for things is permissibility *** and worship is prohibited except by the permission of the Lawgiver"
So, what is the original ruling for worship? It is prohibition. The original ruling for worship is prohibition except by the permission of the Lawgiver, and the original ruling for matters other than worship is permissibility except by evidence from the Lawgiver prohibiting them.
"The original ruling for things is permissibility *** and it is prohibited"
This condition, the one that says "worship except by the permission of the Lawgiver", yes. Now, the original ruling for sales is permissibility until evidence comes to prohibit them. However, we must know that installment sales are only permissible if the seller already owns the commodity. For example, a dealership owner to whom people come to buy cars, some paying cash and others buying on credit (in installments), there is nothing wrong with this. He sells to the one buying cash for thirty thousand and to the other for thirty-five thousand. Yes.
The questioner : May the Shaykh explain to us the etiquettes of following a funeral procession, from its initial departure from the place of the funeral prayer until the people finish leaving for the cemetery, because we see some people behaving in ways we do not know whether are permissible by the Shari'ah or not, including:
Some people recite the funeral prayer loudly on the way to the cemetery, prolonging it.