How do you know if the PCP or HP finance is Islamic complaint, as there is still an APR rate on the car?
Wa alaykum salaam,
Generally, you are leasing a car and you haven’t borrowed money nor is it a loan.
The APR is the cost of credit as you have chosen to finance the car as the car transfers into the ownership of the financier.
The Shariah compliance depends on the contract itself which would always be good to get reviewed.
Asalaam alaykum, I was looking at cinch.co.uk, and they have used cars for sale via PCP. Could you let me know if anyone has reviewed their contracts for shariah compliance? I would be interested in getting a hassle free car.
Wa alaykum salaam,
The contract would need to be reviewed to say anything definitively.