Buying gold through the phone

Q 3: Sometimes a shop owner buys a bulk of gold by phone, whether from Makkah or outside the country, while he is in Riyadh, from a known jeweler. The buyer knows the sold items well, let's say they are bracelets. They agree on the price, and the money is transferred through the bank. Is this permissible? What should he do?


A: This contract is invalid, because the exchange of both the sold item and the price are delayed, whether they are both gold; one of them is gold and the other is silver; or corresponding banknotes. This is called Riba Al-Nasi'ah (usury of delay, conditional excess for delay of payment), which is Haram (prohibited). The sale should be made only when the price is ready, according to their agreement at the time of the contract. May Allah grant us success. May peace and blessings be upon our Prophet Muhammad, his family, and Companions.


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