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Is Overnight Fee Haram?

Published in Islamic Finance 1 min read

The permissibility of overnight fees depends on the context and the specific details of the fee.

Islamic scholars generally consider overnight fees to be permissible if they are fair and reasonable. The fee should reflect the actual cost of providing the service and should not be excessive or exploitative.

However, if the overnight fee is considered to be usurious (riba) or exploitative, it would be considered haram. Riba refers to charging interest on loans or making excessive profits on goods.

Examples of overnight fees that might be considered haram:

* **Excessive fees for hotel rooms:** If the overnight fee for a hotel room is significantly higher than the actual cost of providing the room, it could be considered usurious.
* **Fees charged for late payments:** If a fee is charged for paying a bill late, this could be considered usurious if it is not a genuine reflection of the cost of processing the late payment.

It is important to consult with an Islamic scholar to determine the permissibility of specific overnight fees.

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