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The question

Is the transaction of buying a car in installments through a bank that purchased it from the dealer, did not register it in its name, then sold it to the client, and it was registered directly in the client’s name, considered an interest-based transaction?

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Source: FtawySummarized from the full answer at Ftawy · imported Sep 2, 20261 min readAlso available in العربية
The answer

It is permissible to purchase a car in installments through banks under three conditions: that the car is owned by the bank before it is sold, that the bank takes possession of it before selling it, and that the bank does not stipulate a penalty for late payment of installments.

It is not a condition for the car to be registered in the bank's name, as ownership transfers immediately upon the contract, and registration is a legal procedure to document and confirm the contract.

Summarized from the full answer at Ftawy · imported

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Where this answer came from
Source platform
Ftawy
Original fatwa ID
18149
Imported
Translation status
Source text, unreviewed
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