What is the ruling on dealing with Zitouna Bank, which offers various financing options (home, car, improvements, equipment, and personal) with a stable interest rate for the entire repayment period?
All usurious loans are forbidden, whether they are for financing housing or anything else. It is not permissible for the bank to give them, nor for the customer to take them, due to the words of Allah Almighty: ﴿O you who have believed, fear Allah and give up what remains [due to you] of usury, if you should be believers. And if you do not, then be informed of a war [against you] from Allah and His Messenger.﴾ And due to the words of the Prophet, peace and blessings be upon him: "Avoid the seven destructive sins," and he mentioned among them "devouring usury." And "the Prophet, peace and blessings be upon him, cursed the devourer of usury, its payer, its two witnesses, and its scribe, and he said: 'They are all equal [in sin].'" However, such financings can be carried out through a Murabaha contract, or an Istisna' contract, or other similar permissible transactions.
Summarized from the full answer at Ftawy · reviewed Sep 2, 2026
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