*Outside Financing* Q: "Our family owns a dealership. We do not offer in-house financing, also known as "Buy here Pay here". As that is when the dealership themselves loans the vehicle out to the customer and also collect the payments for it. We do however offer 'outside financing'. Where the customer is setup with a financing lender. The financing lender charges the dealership a lender fee in order to give the loan to the customer. Then it gives the payment of the car at once to the dealer. This is usually 70-90% of the vehicle's asking price. The customer then does monthly payments for the agreed upon price and length to the finance company/bank. This way the dealership doesn't get any money from interest or anything. And it is between the customer and the bank. However, in order to do this, the finance companies require us to have an application filled out from the customer, which just comprises of basic personal and employment information. The application is sent to Bank/finance company by us. The bank sends back an approval, or a decline and we convey it to the customer. If agreed upon, the bank sends us the paperwork which we have to get signed from the customer. This paperwork states the apr%, monthly payment and length of the loan. (The bank sometimes gives us the option to increase the apr% in order for us to get more money but we never do this.) We do not get any interest money, in fact we don't even get the entire asking price of the car since a lender fee is charged to us. Would this limited facilitation of facilitating the loan be permissible since we are not involved in any impermissible contract but are required to submit the application and get paperwork signed from the customer. If not, then what is a viable alternative to go about doing this. As not offering even outside financing is not practical nor is telling the customer to get his on loan as no one would be willing to do that. (It is possible to assign this to a non-Muslim employee but hard to guarantee it 100% of the time.) In addition, to incentivize us giving the deal to a particular bank. In addition some banks give us milestone bonuses for us working with them. Usually it's a couple hundred to a few hundred dollars. Would these bonuses be permissible to take. It is sent to us via an automated system so we can't opt out of it. Can we take such bonuses from the fiancé company/bank and if not how would we go about discarding the wealth. Obviously, there are countless Muslim dealerships and all of them do something like this. So, would want to know how they go about it? Additionally, to my understanding it is permissible to sell a warranty if it's done in the same transaction as the item and not individually. Is that that the correct understanding? Also, how about 'Gap Insurance' would that be permissible to sell with a vehicle, we do not get money from the gap insurance. We just get a set commission amount if we sell it.” https://daruliftaa.us/fatwa/671/ --- _Visit DarulIftaa.us to ask questions, search for answers, and add favorites to your profile._ _*Remember to turn on notifications on the top right of the screen.*_