Is the work of a company that sells goods to a merchant on credit, with a percentage added to the cost in exchange for granting him 60 days to pay—knowing that customers who pay in cash do not have this percentage added to them—considered a form of usury?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
It is permissible for a company to sell goods in installments for a price higher than their cash price, and this is not usury (riba), because time has a share in the price. For this to be valid, it is stipulated that the two parties agree on the method of payment (installments or cash) before the contract, and that they mutually agree on the price and the payment due date. It is not permissible to impose a penalty for late payment, because that is a form of usury.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/145795
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- Ftawy
- Original fatwa ID
- 145795
- Added here
- . This is when the answer was added to El Fatwa, not the fatwa's date.
- Text
- Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
- Read the full ruling
- Read the full answer on Ftawy