The Ruling on Personal Financing from the Bank Based on Tawarruq
Machine translationRead the Arabic original
The questioner:
Shaykh, I just want to inquire about the ruling on taking a loan or personal financing from the British bank, SAB, knowing that it is based on selling a commodity in the international market. So we want you, Honorable Shaykh, to clarify whether this is lawful or forbidden. May Allah reward you with good.
The Shaykh:
Knowing what? Knowing what?
The questioner:
Knowing that this is based on tawarruq (a commodity sale used to obtain cash) in the sale of a commodity in the international market, on the basis that it is the sale of iron or aluminum, or...
The Shaykh:
My brother, in the matter of tawarruq, the commodity must be in the possession of the seller before the contract, and you must see it, look at it, and know it. That is one thing. The second thing, after you buy it, you must take possession of it and move it from the place of the lending seller, and then sell it to someone else. Then you benefit from its price. That is the matter of tawarruq. Yes.
The presenter:
May Allah reward you.
Shaykh, I just want to inquire about the ruling on taking a loan or personal financing from the British bank, SAB, knowing that it is based on selling a commodity in the international market. So we want you, Honorable Shaykh, to clarify whether this is lawful or forbidden. May Allah reward you with good.
The Shaykh:
Knowing what? Knowing what?
The questioner:
Knowing that this is based on tawarruq (a commodity sale used to obtain cash) in the sale of a commodity in the international market, on the basis that it is the sale of iron or aluminum, or...
The Shaykh:
My brother, in the matter of tawarruq, the commodity must be in the possession of the seller before the contract, and you must see it, look at it, and know it. That is one thing. The second thing, after you buy it, you must take possession of it and move it from the place of the lending seller, and then sell it to someone else. Then you benefit from its price. That is the matter of tawarruq. Yes.
The presenter:
May Allah reward you.
Source
فتاوى على الهواء 06-08-1435هـ — alfawzan.live (39:42)
The Arabic text is a machine transcription of the audio recording.