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Question
I am buying a big bus and the seller will finance it to me with 9% interest which is Halal and called "Bae al-Nassea" (sale on credit) now a Muslim brother said that he can buy the same bus and sell it to me with the same interest value so he can use his money instead of leaving it in the bank getting eaten by zakat. The problem is that for him to buy it completely in his name will cost 6000 in paper work then I will have to repay it again 6000 when I change it to my name. So is it Halal to get him to pay the money directly to the seller under my name then I pay him with the interest later. In both ways I will not get any extra benefits except I can bargain for the price little bit with the seller. Please let me know and Allah bless you.
Answer
Praise be to Allah, the Lord of the Worlds; and may His blessings and peace be upon our Prophet Muhammad and upon all his Family and Companions.
If a person purchases a bus genuinely and holds its liability but officially it is not transferred to his name, such a transaction is correct and there is no harm in such a procedure.
Therefore, it is permitted to register the bus on your name instead of the brother's name who is paying the cash provided the price of the bus is fixed and agreed upon in the first place.
On the other hand, if he gives you the cash (price of the bus) to purchase the bus and then takes from you the price and an additional 9 percent or any other additional amount more than the original price then, this is considered as interest based loan so it is forbidden.
Allah knows best.
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