What is the ruling on a person buying a car from a dealership through a bank (installments), with an agreement between him and the dealership owner that the car will be registered in the buyer's name and the purchase and registration procedures will be completed as a formality only, provided that the dealership hands over the amount to the buyer and takes a commission of around two thousand riyals?
The aforementioned sale is a fictitious sale, and the bank is lending to the buyer through a fictitious purchase. He is obligated to repay the loan with an increase, in installments. The showroom is assisting the buyer in sin and aggression. Therefore, the commission the showroom takes is forbidden, because it is a wage for prohibited assistance.
Summarized from the full answer at Ftawy · reviewed Sep 2, 2026
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