Buying an item on terms for a fixed price

Q: I want to buy furniture for my house as I am shifting to a new flat. But I can't really pay cash currently. But the shopkeeper is charging interest on that. So is it permissible? I have heard that if I know the total increased price then it is permissible. e.g If I buy a car now I have to pay 8000 but on instalments the new price will be 10,000. But they increase it and say that its the interest rate. However I know the final price so is it permissible?

A: If the price has been fixed from the inception and it will not increase in any case, then according to shari`ah this is not interest.

And Allah Ta'ala (الله تعالى) knows best.

 

Answered by:

Mufti Ebrahim Salejee (Isipingo Beach)