WAMY has prepared a pamphlet about

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Q 7: Is it permissible to participate in religious competitions that award cash prizes?

A: There is nothing wrong with taking the prizes that are donated by the rulers or other benevolent people, as this kind of competitions encourages people to acquire knowledge and memorize the Book of Allah (Glorified and Exalted be He). However, in such and similar matters a believer should be sincere to Allah and be happy at having something that will help them acquire religious knowledge. They should not focus their attention on just winning the money. (Part No. 15; Page No. 189) May Allah grant us success. May peace and blessing be upon our prophet Muhammad, his family, and Companions.