Car Ijarah wa Iqtina, the concept

Ijarah is an Islamic mode of leasing and can be used for assets that are not consumed while they are in use, for instance, it can be a house, car or any other tangible asset. During the tenure of Ijarah financing the asset given by the bank remains in DIBL’s ownership and all risks are borne by the Bank. According to Shari’ah compliant Car Ijarah financing, DIBL gives its car on rental basis to the customer against agreed payment and period. After the determined period of Ijarah, customer may purchase the car at an agreed price or may return it back to DIBL.

Salient Features of Car Ijarah

• Free from Riba.
• Fully Shari’ah compliant.
• No up-front insurance payment.
• No rental payments from the date of booking till the time of delivery.
• No up-front registration fees and related expenses.
• Nominal processing fees of Rs. 3,000 (Non-refundable).
• Easy processing for new locally assembled and imported cars.
• Nominal security deposit.
• Minimum Limit PKR 250,000/- Maximum Limit PKR 5,000,000/-.
• Minimum Tenor 3 years Maximum Tenor 5 years. Minimum Eligibility*
• Applicant should be a resident Pakistani.
• Minimum age 21 years Maximum age 65 years.
• For business and self employed persons, at least 2 years business experience.
• For salaried person at least 2 years employment.
• Applicant monthly income should match DIBL's minimum income criteria. All agreements/documents are approved by DIBL’s Shari’ah Advisor.
  * Conditions apply