Question: Some companies sell boats or machinery in installments. However, they increase the real price due to the installments. So what is the ruling on purchasing from them?
Answer: “There is no preventative for that. This is what the majority of the Scholars are upon. For example, if they say, this boat costs one hundred thousand in cash or one hundred and fifty thousand if paid in delay for such and such time. The majority of the Scholars* are of the opinion of the permissibility of this trade due to the lack of evidence preventing it. And also because trading enters into the statement of Allah:
وَأَحَلَّ اللَّهُ الْبَيْعَ
Whereas Allah has permitted trading [2:275]”
*Abdul Hasan Ihsaan al-Lahji (the compiler of the Shaikh’s Fatwa) writes in the footnote of the Shaikh’s Fatawa:
“From them is Zuhri, Qataadah, Taawus, Sa’eed ibn Mussayib, ‘Ata, and the People of the Four Mathaahib. It is apparent from the speech of Shaikhul Islaam Ibn Taymiyyah and the chosen opinion of Ibn al-Qayyim, as-San’aaani, ash-Shawkaani, and Sadeeq Hasan Khaan. It was also said by the Permanent Committee for Verdicts (second question from the fatawa no. 16103 (13/160)]. For more return to the book az-Ziyaadah wa Atharuhaa fi al-Mu’aawadaat al-Maaliyyah (1/171) and what is after that”
[al-‘Athab al-Ma’een pg. 58]
Faisal Ibn Abdul Qaadir Ibn Hassan