Is it permissible to rent a car with a monthly payment system with 0% interest or a certain interest rate, knowing that installments are paid automatically and on time, and does the same ruling apply to renting a house whose owner is paying off an interest-based mortgage?

The answer is summarized in four points:

1. Ruling on renting a car with decreasing rent: It is permissible to rent a car with decreasing rent as long as the rent is known in a way that does not lead to dispute. It is permissible to set the rent for the first period and link the rent for subsequent periods to a known index that leads to certainty and benefits both parties.

2. Ruling on Ijara with a promise to own: There is no objection to Ijara (leasing) with a promise to sell the car after the lease period ends, provided that the Ijara is genuine and not a disguise for sale, and that the responsibility for the maintenance and repair of the car rests with its owner during the lease period, except for damage caused by the lessee's transgression or negligence, or if the maintenance cost is a known amount as part of the rent.

3. Imposing a late payment penalty on rent or installments: It is not permissible to rent or buy something with a usurious condition such as a late payment penalty, except for someone who lives in a country where they cannot find a lease for what they need except with this condition, and the hardship is certain, and the probability of delay is low.

4. Renting a house from someone who acquired it with a usurious loan: It is permissible to rent a house from someone who acquired it with a usurious loan, because the loan – despite its prohibition – conveys ownership, and thus the owner has the right to rent or sell what he has acquired with it.