Recently I have gone through a video in which A speaker said that Late fee of Telephone/Mobile bill, Electricity bill, educational institutional Late fee and other societal/Service late fee are different kind of Interest. ( As  I understand by the words of Speaker that any additional amount paid due to paasing of Due date is a kind of Interest or rebah) Kindly Share the True teachings of Islam.
asked Oct 9, 2017 in Manners & Behaviours by arslatifi

1 Answer

Ref. No. 39 / 805

In the name of Allah the most Gracious the most Merciful

The answer to your question is as follows:

The fees that are agreed between two parties are valid but the fine that is levied in case of delay in payment is usury and interest which, as per Islamic rulings, is forbidden; hence it is not permissible to willingly pay or receive it.

Nevertheless, if one is forced to pay it, and there is no way to avoid it, then the payer is excused and the sin falls on the one who charges it.

And Allah knows best


Darul Ifta

Darul Uloom Waqf Deoband 

answered Oct 11, 2017 by Darul Ifta