Is it permissible to give a donation to a college in return for the opportunity to study there?

It
is permissible to give a donation to a specific college or institute in
return for the donor being let off having to take the entrance exam, and it
is permissible for him to increase his donations so as to increase his
chances of admission to a course of study. 

That is because the college, in that case, has stipulated that, in order to
be admitted, the student must either have a certain level of knowledge, or
be willing to benefit the institution by giving money. This is permissible
and there is nothing wrong with it. 

Even though the money that is given is called a donation, in fact it is not
a donation, because what is meant by a donation is that one gives money to
someone for nothing in return, but this money that was given to the college
is for something in return, which is admission to a course of study. So it
is as if this student has purchased the right to study in this college by
giving this money, so it is not a pure donation. 

So
if we assume that it is called a donation or a gift, it comes under the
heading of a gift in return for something, which is permissible according to
the correct scholarly opinion, like buying and selling. 

See: al-Fawaakih ad-Dawaani (2/158) 

It
says in al-Mawsoo‘ah al-Fiqhiyyah al-Kuwaitiyyah (15/16): 

What is meant by reward for a gift is financial recompense: 

The basic principle concerning gifts is that there should not be any
tangible recompense for them, because a gift is a donation, so it is not in
return for something. 

However it is permissible to give something in return for a gift, and this
is called a reward for a gift. This refers to a gift for which recompense is
received. The recompense for the gift may or may not be stipulated in the
contract. 

If
it is stipulated in the contract, and it is known, then the contract is
valid according to the Hanafis, Maalikis and Hanbalis, and according to the
Shaafa‘is in the more well-known view, based on the meaning according to
their view. The second view among the Shaafa‘is is that the contract is
invalid because of the reference to compensation, because the word gift
implies that it is a donation. 

If
the contract is valid then is a kind of transaction, or it is a transaction
in general terms, and it comes under the rulings on transactions. In that
case there is the right to go ahead with it or cancel it, or to return the
item if it is faulty, and the right of first refusal (shuf’ah), and there is
no right to return the item after the transaction has been completed. End
quote.

It
should be noted that this is on condition that the course of study in this
college should be permissible, such as study of medicine, engineering,
science or history and the like, and not study of something prohibited. 

As
for prohibited studies, such as study of singing, acting, music and the
like, it is not permissible for a Muslim to join such courses or to give
money to the college that teaches them. 

And Allah knows best.