Common Everyday Cases of Interest: Difference between revisions
From Halachipedia
→Early Bird Specials
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#The halacha considers that when you buy an item for someone else the item immediately belongs to that person for whom you bought it. One can explicitly stipulate otherwise.<ref>Shulchan Aruch C.M. 183:4 based on Bava Kama 102b</ref> If one did not stipulate and the friend bought an item for his friend with his own money then the friend may not pay extra for the item. Doing so would be interest since when the item was purchased a loan was established from the friend to the sender. Paying extra is interest. To avoid any issue they have to stipulate that the friend is buying it for himself and then selling it to the sender later.<ref>Torat Ribbit ch. 9 fnt. 89</ref> | #The halacha considers that when you buy an item for someone else the item immediately belongs to that person for whom you bought it. One can explicitly stipulate otherwise.<ref>Shulchan Aruch C.M. 183:4 based on Bava Kama 102b</ref> If one did not stipulate and the friend bought an item for his friend with his own money then the friend may not pay extra for the item. Doing so would be interest since when the item was purchased a loan was established from the friend to the sender. Paying extra is interest. To avoid any issue they have to stipulate that the friend is buying it for himself and then selling it to the sender later.<ref>Torat Ribbit ch. 9 fnt. 89</ref> | ||
==Early Bird Specials== | ==Early Bird Specials== | ||
# Municipal kindergartens sometimes have a two tiered pricing system. If you pay for each month you pay one price and if you pay in advance of the entire year or several months there is a discount. It is permitted to pay with either arrangement.<Ref>Torat Ribbit 10:74 explains that it is permitted to pay a cheaper price in advance for a rental or salaried worker for a service if it was done in advance (see Shulchan Aruch Y.D. 176:8). The payment is really hiring the city to provide a service. Even though generally one can't hire a worker for cheaper in advance unless the worker starts immediately (Shulchan Aruch Y.D. 176:8) since the arrangement isn't a timed worker (poel) but a serviced worker (kablan) that they can't retract from it is permitted. He quotes that Rav Elyashiv permitted this.</ref> | # Municipal kindergartens sometimes have a two tiered pricing system. If you pay for each month you pay one price and if you pay in advance of the entire year or several months there is a discount. It is permitted to pay with either arrangement.<Ref>Torat Ribbit 10:74 explains that it is permitted to pay a cheaper price in advance for a rental or salaried worker for a service if it was done in advance (see Shulchan Aruch Y.D. 176:8). The payment is really hiring the city to provide a service. Even though generally one can't hire a worker for cheaper in advance unless the worker starts immediately (Shulchan Aruch Y.D. 176:8) since the arrangement isn't a timed worker (poel) but a serviced worker (kablan) that they can't retract from it is permitted. He quotes that Rav Elyashiv permitted this.</ref> Some apply the same to private school tuition with a two tiered system.<ref>Rav Zeev Cohen in Kuntres Poalim BShabbat by Chicago Kollel p. 10 wrote that the leniency of paying an early discount for wages found in Shulchan Aruch 176:8 can be applied to paying school tuition in advance for a cheaper price since the school is working for the parents and it is like they began the job immediately since they need to prepare the school, the curriculum, and materials far in advance of the actual school year.</ref> | ||
# Catering for a wedding, bar mitzvah, or otherwise should not fix a price in advance without a heter iska because doing so can involve there being a discount for this early payment. It is certainly forbidden without a heter iska if there is a discount for advanced payment.<ref>Torat Ribbit 10:76</ref> | # Catering for a wedding, bar mitzvah, or otherwise should not fix a price in advance without a heter iska because doing so can involve there being a discount for this early payment. It is certainly forbidden without a heter iska if there is a discount for advanced payment.<ref>Torat Ribbit 10:76</ref> | ||
# In renting a catering hall or wedding hall only it is permitted to pay a discounted price for early payment since it is a rental of real estate.<ref>Torat Ribbit 10:79</ref> | # In renting a catering hall or wedding hall only it is permitted to pay a discounted price for early payment since it is a rental of real estate.<ref>Torat Ribbit 10:79</ref> | ||
