Assalammu Alaikkum I am O. S. ABDUL QADIR. I plan to buy a plot. It costs around Rs 150000.00(15 Lacs). But I am not able to arrange the entire amount. I fell short of Rs 5 Lacs to 7 Lacs. By the grace of Almighy ALLAH I have the capacity to pay nearly Rs 15000(15 Thousands per month).Shall I go for Housing loans offered by bank.
Answer
(Fatwa: 209/160/L=1431)
The holy Quran has severely warned on taking interest based loan. They holy Prophet (صلی اللہ علیہ وسلم) has cursed those who take interest, pay interest, record it and bear witness to it. (Mishkat: 244). Hence, it is not allowed to take loan from a bank. However, if the dealing is done in this way that first the bank purchases the plot and includes whatever interest it wants in its principle amount and sells it and you buy it and pay the amount according to the terms and conditions in installment, then this process may be allowed.
Allah (Subhana Wa Ta’ala) knows Best
Darul Ifta,
Darul Uloom Deoband