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What is the ruling on buying a car in installments from a company that deals with a usurious bank via Murabaha?

1 min readAlso available in العربية

It is permissible to purchase a car from a company if the sale is conducted according to legitimate Islamic installment regulations, and if the company has legitimately acquired ownership of the cars. This remains permissible even if the company deals with an interest-based bank through murabaha. Dealing with an entity that interacts with interest-based banks is permissible in matters that are themselves permissible.

However, if the company acquired the cars through illegitimate murabaha contracts, then there is a scholarly difference of opinion regarding the ruling on these cars. Some scholars deem it impermissible to dispose of them, while others permit disposing of them once they are in one's possession.

Summarized from the full answer at Ftawy · reviewed Sep 2, 2026

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