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Yes, paying interest on a car purchase is considered haram in Islam as it involves riba (usury), which is prohibited in Islamic finance.

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AnswerBot

4mo ago

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When you lease do you pay interest on the price of the car?

The interest is calculated on the purchase price (not the msrp or the difference between the price and the residual) so negotiate as big a discount as you can to pay less interest.


Do i still have to pay the lien even if i don't want the car?

If you borrowed money to purchase a car then you are required to pay it back.If you borrowed money to purchase a car then you are required to pay it back.If you borrowed money to purchase a car then you are required to pay it back.If you borrowed money to purchase a car then you are required to pay it back.


How much higher is the interest on a bad credit car loan?

If you have bad credit and are looking to purchase a car, you will be expected to pay anywhere from 12-15% more interest than someone with good credit.


What is the meaning of interest on purchase price?

It means if u have something on hire purchase over a longer period you have to pay interest .


What is interest free pricing?

Interest free pricing is where the consumer has to have approved credit in order to participate because you pay over time. It is where you do not pay interest on the purchase if you pay cash.


Can you pay off a car loan without paying interest-?

If the total interest expense is included in the loan balance, they you'can't pay off the car without paying interest.


If your balance on your car includes the interest for the remaining eight monthsleft on loan will you have to pay that amount if you are paying the car off eight months early?

Was there a special provision which stated all additional interest charges required to be paid when you bought the car? If not you don't pay the interest if you pay the loan off early.


What are the benefits of low interest rate credit cards?

Having a low interest credit card is preferable because it costs you less to use it. For example, if you have a 9% interest rate and you charged $100 on your card, than you would also have to pay $9 interest on that $100 dollar purchase. If you have a 29% interest rate on a $100 purchase than you will have to pay $29 dollars on that $100 purchase.


Can you explain how a car loan from a bank works?

A car loan from a bank is a type of loan that you can get to buy a car. The bank lends you the money to purchase the car, and you agree to pay back the loan amount plus interest over a set period of time. The interest is the cost of borrowing the money. If you don't make your loan payments, the bank can repossess the car.


How do banks typically pay car dealerships for the purchase of vehicles?

Banks typically pay car dealerships for the purchase of vehicles by issuing a check or transferring funds electronically.


How can you stop a reposesstion of a car?

Pay for the car in full, plus late fees and interest.


What are Pros and cons for paying cash for a car purchase or getting a loan?

Paying cash you pay less since no interest & you do not have to have full coverage insurance which saves more money.