Banking: Selling Post-Dated Checks Below Face Value for Immediate Cash

Practical Laws of Islam as per the teachings of Imam Khamenei

Banking: Selling Post-Dated Checks Below Face Value for Immediate Cash

English:

Question #1934:

What is the ruling in the matter of selling post-dated checks for less than their nominal value for cash?

Answer #1934:

There is no objection in selling a post-dated check to another person for an amount less/more than its nominal value. However, it is problematic, or rather not permissible to borrow money and give the creditor a post-dated check whose nominal value is more than the debt. This is a ribā-based loan and ḥarām although it is not remote that the very loan is valid.

-Imam Khamenei, Practical Laws of Islam, Importance and Conditions of Banking