Q: What can a company do to customers who default in their credit payments?
1. Can a company charge them a penalty for exceeding their credit term? If not, what are the Shar’ee alternatives?
2. Sometimes, customers who exceed credit terms request proofs of deliveries again, although an invoice was sent to them with the delivery. Can a company charge them for this, just as Fnb and any other bank charges for producing a statement over 3 months old?
A:
1. This is interest and interest is haraam. In future, such people should not be sold goods on credit. One alternative is to take a collateral from them at the time of the sale so that in the case of them not settling their debts, the debts will be settled through selling the collateral and recovering the outstanding amounts.
2. Producing the invoice for the second time does not involve any effort. Further, the benefit of looking for the invoice or statement is for the creditor and not the debtor, as the creditor wishes to get the outstanding amount paid. Hence, the creditor cannot charge the debtor for this. Apart from this, this fee can be used as a means of charging interest under a different pretext, as people look for different ways to take undue advantage of debtors.
However, if the fee is charged for the actual note or invoice, which is at the market value of the note or invoice, then it will be permissible.
And Allah Ta'ala (الله تعالى) knows best.
(Scroll down for more information regarding this question)
وفي الخلاصة القرض بالشرط حرام والشرط لغو بأن يقرض على أن يكتب به إلى بلد كذا ليوفي دينه وفي الأشباه كل قرض جر نفعا حرام فكره للمرتهن سكنى المرهونة بإذن الراهن (الدر المختار 5/166)
Answered by:
Checked & Approved:
Mufti Ebrahim Salejee (Isipingo Beach)
Q: Locating, scanning and sometimes photocopying and posting or emailing the suppliers does take the time and effort of the supplier. Can he charge for this service?
A: Procrastinating and delaying in settling debts is something which always existed throughout the centuries. However, in today’s times, the usurers are in search of ways to earn interest under a different pretext. Hence, if this is permissible, then the one who loans someone money can use the same argument to earn interest under the guise of charging them for the reminders and statements that he sends them.
And Allah Ta'ala (الله تعالى) knows best.
فإن الأصل في العقد اللزوم من الطرفين ولا يثبت لأحدهما اختيار الإمضاء أو الفسخ ولو في مجلس العقد عندنا إلا باشتراط ذلك (رد المحتار4/565
الربا هو الفضل المستحق لأحد المتعاقدين في المعاوضة الخالي عن عوض شرط فيه (الهداية 3/78)
Answered by:
Checked & Approved: