In a lease agreement, the bank owns an asset and leases you the right to use it. Steps Some models may eventually lead to ownership. Ask who owns the asset during the lease term, who is responsible for basic maintenance and coverage, and how ownership will ultimately transfer. Source AAOIFI — Sharia Standards

Editor-in-Chief Mohamed Salah

What is a lease?

Asked by Banky team 2 months ago

Banky team Reviewed editorial answer

In a lease agreement, the bank owns an asset and leases you the right to use it.

Steps

Some models may eventually lead to ownership.
Ask who owns the asset during the lease term, who is responsible for basic maintenance and coverage, and how ownership will ultimately transfer.

Source

AAOIFI — Sharia Standards

Discussion

Join the discussion