What is the ruling on life insurance and on the compulsory loan in the Murabaha sale imposed by the Ministry of Finance on the Islamic bank? Is it permissible to deal with the Islamic bank to support it despite the corruption of some of the conditions imposed on it? And can we comment on the statement: "And there remained detailed issues related to some clauses of the Murabaha contract for the one who commands the purchase, such as the condition of immunity from hidden defects, and the obligation of the promise to purchase and insurance on the sold item and on the debt, and penalizing the defaulting debtor, which requires much detailed discussion, yet they do not necessitate casting doubt of Riba on this transaction; rather, the most that can be ruled upon them is the corruption of these conditions, and the sale may be valid with the corruption of the condition, which the ruler must annul while enforcing the contract without it, this is if we assume for argument's sake the saying of prohibiting such conditions or their non-necessity"?
Source: FtawySummarized from the full answer at Ftawy · imported Sep 2, 2026
It is permissible to deal with an Islamic bank if it is compelled to engage in commercial insurance by the state, and the client is compelled or in need of dealing with murabaha. As for the condition of being free from defects, the bank may adopt the view that permits it. The bank that makes a promise is obligated to fulfill its promise to the extent of the actual damage resulting from its breach, and a penalty for procrastination is not permissible because it is usury.
Summarized from the full answer at Ftawy · imported
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- 97351
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