• Transactions & Dealings >> Interest & Insurance

    Question ID: 56717Country: India

    Title: Can i buy car on installments through Non Banking Financial companies.

    Question: I want to know whether it is halal to buy a car through non banking financial companies. Here also we are supposed to pay extra amount than the exact value of car. The extra money what we are paying is interest?

    Answer ID: 56717

    Bismillah hir-Rahman nir-Rahim !

    (Fatwa: 120/117/B=02/1436) The extra amount which you will pay while paying the instalment shall be interest as per the Shariah. However, it shall be lawful in this way that you buy the car with the total amount of the car and the payment along with the total amount of interest whatsoever it may be and then you pay it in instalment. Thus you shall be saved from interest.

    Allah (Subhana Wa Ta'ala) knows Best

    Darul Ifta,

    Darul Uloom Deoband, India