Question:Is purchasing “receivables” an issue of ribbis? [Receivables, also referred to as “accounts receivable”, are debts owed to a company by its customers for goods or services that have been delivered or used but not yet paid for.] Answer:There is no issue of ribbis in this situation. This is because purchasing receivables is akin to selling a debt, for less than the amount of the debt, which is not forbidden because of ribbis (Shulchan Aruch Yoreh De’ah Siman 173 Se’if 4) provided that it is stipulated that the seller is not liable to the purchaser (ibid). |
Ribbis
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