Skip to content
IlmHub Questions & Answers

Questions & Answers under the supervision of Mufti Faisal al-Mahmudi

Close Menu

PayPal has currency conversion fee based off percentage, is it interest?

354 viewsGeneral (Misc)interest interest money paypal

PayPal has a currency conversion fee based off a percentage of how much money you are covering (eg CAD to USD). Is paying that fee considered paying interest?

Bismillahi Ta’ala

Walaikum Assalam Warahmatullah

Paypal is providing a tangible service to exchange the amount being given into any other currency and have it made available at the other location. This conversion fee is not considered interest and is kept within reasonable value of the service provided.

Aside from the interest aspect, the concern would be that the % amount may add an ambiguity to the service fee being charged. However such ambiguity which is is dispelled to a reasonably level when approving the transfer of any $x amount.

The transaction is valid.

Wallahu A’lam

And Allah Ta’āla Knows Best
Mufti Faisal al-Mahmudi

Categories

  • General (Misc)
    265 Questions
  • Salah
    56 Questions
  • Ramadan
    54 Questions
  • Zakat
    45 Questions
  • Hajj and Umrah
    12 Questions
  • Tahara (Wudhu and Salah)
    10 Questions
  • Shawwal
    5 Questions
  • I'tikaaf
    3 Questions

Questions

Child tastes nose mucus – will it invalidate fast?

Tasted gravy from suhoor on lips while fasting

Local charity organization to decide whom to give zakat

Dental procedures – do they nullify fasts?

Calculating the value of gold

© Copyright 2023. Designed and Developed by IlmHub