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The question

Is offering to sell cars to employees, where the bank provides a facility of 15 months' worth of salary to the employee, with a repayment period ranging from 6 to 60 months, and the amount is repaid in fixed monthly installments (such as an installment of EGP 232.68 for 60 months for an amount of EGP 10,000), considered usury (riba)?

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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 buys the vehicles from the dealer with a real purchase, and they enter into its possession and responsibility, then sells them to the customer in deferred installments, there is no harm in that, even if it adds to their immediate price. This is conditional on specifying the total price of the vehicle at the beginning of the sale, and that the installment value does not increase in case of late payment. However, if the bank does not buy the vehicles but pays their price on behalf of the customer with an apportioned increase, then this is not permissible because it is a usurious loan.

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
44263
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