Buying Phone Cards at Higher Price: Does It Fall under Ribā?
Source: Aḥkām wa Masā’il, Issues of Buying and Selling, Vol. 1, p. 358
For making telephone calls, coins and cards are used. From government offices, these coins and cards can be obtained at face value, i.e., by paying their exact price.
However, shopkeepers usually sell:
The case of coins is clear—it is ribā (interest). But the question arises:
When a phone card, whose value and usage are both equal to one hundred riyals, is sold for one hundred and ten riyals, does this also constitute ribā, since the card itself is not actual riyals (neither coins nor notes)?
Al-ḥamdu lillāh, waṣ-ṣalātu was-salāmu ‘alā Rasūlillāh, ammā ba‘d!
If a phone card worth one hundred riyals, and usable for exactly one hundred riyals’ worth of calls, is sold for one hundred and ten riyals, this transaction is equivalent to buying nine coins for ten riyals. Its ruling is the same—it is a form of ribā.
◈ Since government offices sell the same phone card for its actual value of one hundred riyals, charging extra is impermissible.
◈ This makes clear that giving additional money in such transactions falls under ribā, whether in the form of coins or cards.
◈ To avoid ribā-based dealings, one should purchase phone cards only from government offices at their fixed price.
◈ Buying from private sellers or shopkeepers at inflated rates should be avoided, as they are engaging in ribā by charging extra.
ھذا ما عندي والله أعلم بالصواب
Source: Aḥkām wa Masā’il, Issues of Buying and Selling, Vol. 1, p. 358
❖ Question:
For making telephone calls, coins and cards are used. From government offices, these coins and cards can be obtained at face value, i.e., by paying their exact price.
However, shopkeepers usually sell:
- Ten-riyal coins (9 pieces) for the price of ten riyals.
- A hundred-riyal phone card for one hundred and ten riyals.
The case of coins is clear—it is ribā (interest). But the question arises:
When a phone card, whose value and usage are both equal to one hundred riyals, is sold for one hundred and ten riyals, does this also constitute ribā, since the card itself is not actual riyals (neither coins nor notes)?
❖ Answer:
Al-ḥamdu lillāh, waṣ-ṣalātu was-salāmu ‘alā Rasūlillāh, ammā ba‘d!
If a phone card worth one hundred riyals, and usable for exactly one hundred riyals’ worth of calls, is sold for one hundred and ten riyals, this transaction is equivalent to buying nine coins for ten riyals. Its ruling is the same—it is a form of ribā.
❖ Evidence:
◈ Since government offices sell the same phone card for its actual value of one hundred riyals, charging extra is impermissible.
◈ This makes clear that giving additional money in such transactions falls under ribā, whether in the form of coins or cards.
❖ Precautionary Measure:
◈ To avoid ribā-based dealings, one should purchase phone cards only from government offices at their fixed price.
◈ Buying from private sellers or shopkeepers at inflated rates should be avoided, as they are engaging in ribā by charging extra.
ھذا ما عندي والله أعلم بالصواب
