Praise be to Allah the Lord of the Worlds. May His peace and blessings be upon our Prophet Mohammad and upon all his family and companions.
After having researched the types of advertisements and payment methods provided by Facebook , it became clear that there are two types of advertisements: free and sponsored advertisements. Sponsored advertisements have two payment methods: automatic billing and prepaid funds.
Based on the terms and conditions for self-service sponsored advertisements on Facebook, it was found out that section (h/4) outlines the following:
"If your payment method fails, or if there are outstanding amounts on your account, we may take additional steps to collect the overdue amounts. You agree to pay all expenses related to this collection, including reasonable attorney's fees. On overdue amounts, you will be liable to pay interest of 1% per month or at the maximum rate allowed by law, whichever is less."
According to the general rule in Sharia, it is prohibited to impose any form of fine for delayed payment of a debt because this falls under the category of Riba (Usury/interest) which is prohibited in Islam. Allah says {What means}: "O ye who believe! Fear God, and give up what remains of your demand for usury, if ye are indeed believers." {Al-Baqarah, 278}.
During its twelfth session, the International Islamic Fiqh Academy issued a resolution that stated: "It is permissible to include penalty conditions in all financial contracts except for contracts where the primary obligation is a debt, as imposing penalties in such cases is considered explicit Riba."
In conclusion, it is not permissible to engage in promoting sponsored advertisements on Facebook except through the prepaid payment method, as it is free from usurious conditions. As for the automatic billing method that entails fines for late payment, it is not permissible to use this method because it includes usurious conditions. And Allah the Almighty knows best.
