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Is it permissible to draw up appointment letters containing interest charges?

Answered as per Hanafi Fiqh by Askimam.org


1. I am a civil engineer working at am international consulting engineering company.  As part of my role,I am required to send out quotations to clients who require our consulting services. This is done in the form of a proposal letter. Attached to the letter is an appendix which outlines standard terms and conditions, one of these being charging of interest of accounts not settled within a stipulated period. Since this is company policy I do not have a choice in removing this clause. Is it permissible for me to draw up appointment letters with such a clause?

2. Consider the following scenarios

I purchase a voucher worth R1000 from an individual for R500. The voucher entitles me to book a flight online for R1000. If the flight is less than R1000, the remainder can be used for subsequent bookings. If it is more than R1000, the extra will be paid with a card. Is the purchase of such a voucher permissible? 



In the Name of Allah, the Most Gracious, the Most Merciful.

As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.

1) There are two issues in this. One is the quotation and the other is the actual contract that includes payment of the interest for late payments. The quotations itself is not part of the interest contract. In an unavoidable situation – as in your case – you will be excused.[1]

2) What is the background of the vouchers and how was it received?

And Allah Ta’āla Knows Best

Saad Haque

Student Darul Iftaa
New Jersey, USA 

Checked and Approved by,
Mufti Ebrahim Desai.

[1] جواهر الفقه (٧/٥١٠)

This answer was collected from Askimam.org, which is operated under the supervision of Mufti Ebrahim Desai from South Africa.

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