INSTALLMENT SALE IN ISLAMIC FINANCE AND ITS ESSENTIAL CONDITIONS AND REQUIREMENTS

Sometimes, due to the need for consumer goods, a person purchases them from a specific store on credit (nasiah) and pays the store owner when a specific deadline arrives. The main condition required in a credit sale is the deferred payment of the price (saman). This is legally permissible by the consensus (ijma) of scholars. For a credit sale to be valid (sahih), it is mandatory that the deadline is known. If the deadline is unknown and becomes a cause of dispute between the two parties, the sales contract becomes invalid (fasid).