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The question

What is the ruling on paying off a loan with Al-Rajhi Bank through another bank that only makes the payment and does not take an increase, but stipulates an increase on the loan to be paid off?

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

There is no objection to obtaining financing for a project to repay Al-Rajhi Bank’s debt, either through permissible Tawarruq, such as buying a car or shares and selling them to obtain cash, or by obtaining an interest-free loan ().

It must be noted that calling financing operations a "loan" is incorrect, and the organized Tawarruq practiced by some banks is forbidden and impermissible.

The nature of the financing must be clarified in order to rule on it.

Summarized from the full answer at Ftawy · imported

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Where this answer came from
Source platform
Ftawy
Original fatwa ID
19246
Imported
Translation status
Source text, unreviewed
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