Question: What is the ruling on purchasing a car through the system of leasing that ends in ownership which the car shows offer or the bank? And what is the halal form in regards to it?
Answer: “There is not something Halal in it. Leasing ending with ownership is haram and there is nothing halal in it. It has two contracts in one contract together: the contract of renting and the contract of buying. Each contract has its rulings and conditions. This should not be gathered with that. Also in it is a mistake and ignorance. He does not know what will the product end up as afterwards. Perhaps it will be consumed or its value will be lost and it will not be equal to anything. This transaction is unknown. Its capital and destination are not known. A fatwa has been issued, rather a decision has been issued by the committee of Senior Scholars that leasing ending with ownership is a prohibited contract. Yes”
[https://www.alfawzan.af.org.sa/node/13302]
Translated by
Faisal Ibn Abdul Qaadir Ibn Hassan
Abu Sulaymaan
