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Trade and Business

buying and selling on installment


Assalam wa alaikum,Mufti Sahab,Is it lawful to buy things such as computers,laptops and other expensive things on payments on monthly basis?Like If the computers price is $2000.00 Cash than the company will increase the price in payments according to the duration of time.And the much time you ll take to clear of your credit,that much the price will increase?Is this lawful

الجواب حامدا و مصلیا

In the name of Allah, the Most Beneficent and the Most Merciful
The method mentioned above in buying and selling on installment is not permissible, however this transaction could be made in a permissible way as well, details of same are:
1. In the first sitting it should be decided that the transaction will be deferred and payment will be on installments.
2. Amount of each installment should be decided.
3. Total number of installments too should be decided.
4. No condition of any kind of penalty whatsoever in case of late payment of the installments.

Therefore it is correct and permissible without doubt to buy and sell under installments the aforesaid items taking into account the conditions mentioned above.

Allah knows best.