Is it permissible to sign a contract with a telecommunications company that involves paying 10 euros monthly for a service, while receiving a gift of 250 euros upon signing the contract, or is this considered usury (riba)?
The gift offered by telecommunications companies is not free; rather, it is compensation for a transaction or service, and the company ensures its recovery and benefits from the original transaction. If the gift is monetary, it is a loan that the company recovers from the customer. This is considered a loan that draws a benefit, which is forbidden usury (riba). Furthermore, this transaction combines a loan with leasing (ijara) or sale in a single deal, which is prohibited as it is "two sales in one sale."
Summarized from the full answer at Ftawy · reviewed Sep 2, 2026
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