Charging processing fee

Assalamu alaikum, I would like to know if charging processing fees is allowed in Islam as it is used by islamic banks ?

My bank gives us an option to convert credit card payments into instalment options and we need to pay Fixed processing fee to avail the same without paying any interest.

Kindly advice.

Jazakallah Khair


Wa alaykum salaam,

Yes, processing fees are acceptable.

Allah knows best

Jazakallah Khair Shaikh

I forgot to mention they charge it in terms of % and not amount.

For example 2% of total outstanding but it is fixed.

Kindly advice.

Jazakallah Khair