Madinat al-Muslimeen Islamic Message Board
| paying in a different currency |
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| proudtobemuslim |
| 05/05/01 at 08:40:21 |
| Assalam-u-Alaikum, Is it allowed for a person to ask someone to buy something in one currency (eg. poounds) and pay in another (eg. rupees)? Wassalam-u-Alaikum, Uzer |
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| chachi |
| 05/06/01 at 14:54:24 |
hmm i'm not sure paper money is legal per se in islamic law it was one of the major factors in the destruction of the islamic state because the muslims ignored the prophets injunction not to take promissory notes from non-muslims not living in the islamic state so the spanish were able to take home all the gold (the one the english didn't get..*s*) that they stole and plundered from the aztecs and leave the muslims with worthless prommisory notes subjecting the islamic state to the economic rise and decline in fortunes of another state |
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| Barr |
| 05/06/01 at 21:34:27 |
| Wa'alaikumussalam warahmatullah... If there is mutual agreement... I don't see why that can't take place... isn't buying/ selling an exchange of goods and services via a mutually agreed medium? Perhaps, payment can be made with reference to the current exchange rates? Wallahua'lam |
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| Arsalan |
| 05/07/01 at 13:45:31 |
| [slm] [quote] hmm i'm not sure paper money is legal per se in islamic law [/quote]Whoa! What makes you say that??? |
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| Ali |
| 05/07/01 at 14:42:48 |
| assalam alaikum, I was told that once someone asked the prophet (peace be upon him) about exchanging currencies. The dominant currencies of the time being the persian and the roman, and the prophet (peace be upon him) said that one currency (i.e persian) would have to be exchanged into gold, and then into the other currency (i.e roman currency). wa Allahu a3lim. not sure about the paper money being haram, but its definetely true that non-muslims did not honour their debts, and in fact one of the reasons for colonialism was that it was easier to conquer the muslims than to pay them. speaking of money, i have finance exams in june, so please make dua insha'Allah. salam wa rahmat'Allah |
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| chachi |
| 05/07/01 at 17:33:38 |
| Arsalan paper money is basically a contract where somebody says they will pay you most people get confused and think the paper is itself worth something ! all it is saying is that a bank will pay you x if you go there in islamic law the idea is that the product itself have some value thus there isn't a concept of there being a run on the bank ! states can fail due to economic , social , military or enviromental factors the islamic states first failure was that it accepted pieces of paper from the spaniards for goods saying they would pay X to them because the spanish had looted so much gold from south america it was inconceivable they would not be able to pay..thus they subjected the islamic states economy to the promises of another state ...this was the beginning of the end remember the Ferangi who have always of the nations of the world regarded themselves as the utmost enemies of the deen had tried for the the last few centuries to destroy the khilafa by introducing impure gold into the states economy ...they had failed however the muslims by disregarding the sunna destroyed their own economy |
| Re: paying in a different currency |
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| proudtobemuslim |
| 05/08/01 at 11:41:48 |
| Assalam-u-Alaikum, The reason I asked was bacause exchange rates fluctuate a lot and 5 rupees one day would be worth another bunch of dollars the next... so I was afraid of any riba (usury) getting involved. The obvious thing to me is that I pay at the exchange rate that was prevalant when the person buys the actual items... but I was hoping maybe someone might know something from a scholar. Wallahu 'Alam and jazzakum ullahu Khair, Wassalam-u-Alaikum, Uzer |
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| Asim |
| 05/08/01 at 14:26:23 |
| wlm Here is an idea. Give him the money in pounds needed to buy the books before he leaves. If there is any money left over he can give it back to you later. There is no restriction on currency in Pakistan so this should work out. Wasalaam. |
| Re: paying in a different currency |
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| SuperHiMY |
| 05/09/01 at 13:43:01 |
AsalamAlay.com Peace and riba-free-Greetings be upon you! The Answer is YES. I personally witnessed Muslim Bankers at two islamic banking conferences deal with this exact issue. I was selling a book, (Usury: The root cause of Injustice in our times), Glenn Stewart, who at the time was running the World's biggest HALAL mutual fund based on Murabaha, wanted my book, but didn't have local canadian currency and really didn't wanna part with his US dollars as he was about to catch a plane as the conference had ended. Long story short, I can buy something, say a pair of slippers. Pay for it in say Pakistani Rupees while I am in Pakistan. Then travel to the States and SELL the pair of slippers to you. And ACCEPT payment for the item, in this case, slippers, in USA Dollars at whatever price we agree upon. Trading money for hard goods then re-selling those goods is okay. Trading money for money directly is a NO NO. I personally saw how these Muslim-Riba-FREE bankers were so careful NOT to trade money directly for money trying to pay for my books. The constant change in the exchange rate? WEll, you are asking the person/traveller to provide a service that is to go to a place and purchase somethng and then bring it back. That 'service' is considered work and not necessarily just a 'favour' hence you can pay either a fixed percentage over and above the COST price of the item. Or you can just give her/him the money and say get the item and keep the change. They're both okay to do. ~ HiMY! ~ |
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| chachi |
| 05/09/01 at 18:00:13 |
Himy whats the issue in relation to goodwill i heard some people were leaving furniture or goods and then attributing the value of the goodwill to the furniture isn't that like the yahood womens practice of covering their hair with a wig instead of a hijab? |
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