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The question

Is it permissible to deal with a bank to purchase building materials and pay for them in installments?

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Source: FtawySummary from Ftawy's records · added here Sep 2, 20261 min readAlso available in العربية
The answer

If the bank pays the price of goods for the borrower to return to it more than it paid in installments, then this is a forbidden usurious transaction. However, if the bank buys the goods and they enter into its possession, then sells them to the buyer for more than the price it paid in known installments, and does not stipulate a late payment penalty, then this is a permissible Murabaha (cost-plus financing) transaction, in which there is no usury.

Summary from Ftawy's records · added here

Reviewed by El Fatwa's sharia committee.

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Where this answer came from
Source platform
Ftawy
Original fatwa ID
195855
Added here
. This is when the answer was added to El Fatwa, not the fatwa's date.
Text
Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
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Read the full answer on Ftawy