Selling Old Gold as New

Shaykh Bali says the matter is very important — because many traders do this, and simply assume there is nothing wrong with it.

How the Question Comes

Old gold is handed in at the shop. The trader polishes it until it gleams — it looks completely like new.

Then it gets sold as new. The buyer notices nothing.

The trader's reasoning does not sound bad either — I have made it just like new, so where is the problem?

Shaykh Bali's answer went straight to the heart of this reasoning.

The Shaykh's Answer

Making something gleam does not make it new — if you do not tell, it is deception.

The Shaykh says the deception here is from two sides — first, the item is old and used; second, the price of a used item is lower than that of a new one. In people's common practice, even slight use is counted as a defect.

So there is only one thing to do — state it clearly: this is slightly used, I have polished it to look like new, and I am keeping the price lower than that of a new one.

The Evidence — Where Barakah Lies

فَإِنْ صَدَقَا وَبَيَّنَا بُورِكَ لَهُمَا فِي بَيْعِهِمَا، وَإِنْ كَذَبَا وَكَتَمَا مُحِقَتْ بَرَكَةُ بَيْعِهِمَا

If they (the buyer and the seller) speak the truth and make things clear, their transaction is blessed; but if they lie and conceal, the barakah of their transaction is erased. (Sahih Bukhari 2079)Copy

In another hadith it is reported — it is not lawful for a Muslim to sell his brother something defective, unless he informs him of the defect. (Musnad Ahmad and Sunan Ibn Majah — the chain is hasan)

What to Do

1. State it clearly in words — the item is used, and it has been polished to look like new.
2. Do not charge the price of a new one — lower the price as for a used item.
3. Do not conceal a defect on the grounds that “everyone does it like this.”
4. If the buyer, knowing the facts, wants to return it, he has that right — accept it.

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Source: Based on a talk by Shaykh Waheed Abdussalam Bali

Translation and compilation: Raqi Faisal Ahmed Sabit — Al Qur'an Ruqyah Healing Center