Is it permissible for me to borrow from the bank through the sale and purchase of cars?
Machine translationRead the Arabic original
Question:
Honorable Shaykh, may Allah grant you success. He says: Is it permissible for me to borrow from the bank through the sale and purchase of cars, with the car being in my name?
Answer:
This is not a loan; this is a sale. This is called tawarruq (a commodity sale used to obtain cash). If the seller owns the car before the contract, and you buy it from him, take possession of it, and sell it to someone else, there is no harm in that.
Honorable Shaykh, may Allah grant you success. He says: Is it permissible for me to borrow from the bank through the sale and purchase of cars, with the car being in my name?
Answer:
This is not a loan; this is a sale. This is called tawarruq (a commodity sale used to obtain cash). If the seller owns the car before the contract, and you buy it from him, take possession of it, and sell it to someone else, there is no harm in that.
Source
قناة «العلامة الدكتور صالح الفوزان»، [996 -3022] هل يجوز أن اقترض من البنك عن طريق بيع السيارات وشرائها؟ - الشيخ صالح الفوزان — youtube.com
The Arabic text is a machine transcription of the audio recording.