Is it permissible to take a loan from a bank to buy a car, where the bank issues a certified check in the name of the dealership for the value of the car, and the customer cannot receive the amount in cash?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
If the bank's transaction involves lending with the condition of repayment with an increase, then this is usury (riba), which is prohibited, and it is not permissible to engage in it. However, if the bank acquires ownership of the car and sells it in installments without a late payment penalty, then this transaction is permissible.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/172614
Where this answer came from
- Source platform
- Ftawy
- Original fatwa ID
- 172614
- Added here
- . This is when the answer was added to El Fatwa, not the fatwa's date.
- Text
- Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
- Read the full ruling
- Read the full answer on Ftawy