Sood On Credit Card Cash Installment Plan
Dear Umer, Many thanks for sharing the link of series of programs on Sood. As you can see in my first post, I already followed all of these programs, but, I am not getting clear understanding to apply on this issue. I am really thankful for helping me in this regard and looking forward for Scholar/Ghamidi sahab’s guidance. Thanks in advance.
Thanks all of you for replying. However, it’s my fault that I missed one thing to write here that when I enquired bank about “what is handling charges?” Bank replied “if you pay the installments within due date we will charge you only monthly handling charges $Z (very small amount as compared to the monthly installment). But if you fail to pay the monthly installment within due date then we will charge you “32% interest” in that month.” Then I enquired again “So, the monthly handling charges are different from 32 % interest?” Bank replied “Yes, within due date you have to pay monthly handling charges and after due date 32 % interest plus monthly installment“. In view of above, it is bit confusing that “handling charges $Z” are straight forward “interest/Sood” or not?
It’s true that as per Ghamidi sahab’s explanation, the prohibition is on the consumption of riba. Riba is not synonymous to interest. Whether someone calls it interest or handling fee, it is still money required to be paid to the lender on top of the original loan so it’s considered riba.