CAR LOANS & PERSONAL FINANCING
24. Q: Is it permissible to take a riba-based loan to buy a car?
A: No. Car loans that involve interest are not permissible if halal alternatives exist (e.g., in-house financing).
25. Q: What if luxury car brands don’t offer halal options (e.g., Mercedes)?
A: That does not justify taking riba. One should choose a more affordable vehicle with halal financing options. Owning a luxury brand is not considered a necessity.