Askari Ijarah Bis Sayyarah
(Ijarah Car Financing) |
| Features |
Details |
| What is Ijarah? |
Ijarah is a rental agreement, under which the usufructs of an asset is transferred to the client on pre-agreed terms and conditions. It is a Shariah Compliant mode of finance, adopted by Askari Islamic Banking to meet the Car Financing needs of its valued customers. |
| Why Askari Ijarah Bis Sayyarah? |
We are Shariah Compliant and market competitive. Askari Islamic Banking deals in all kinds of new, locally assembled, as well as imported vehicles. Terms and conditions we offer are most flexible, with prompt processing time. Moreover,in order to enhance customers’ convenience, we offer family income evaluation plan, where our valued clients can also avail Ijarah Bis Sayyarah facility for more than one vehicle. |
| What are the respective roles of both parties under Ijarah? |
In Ijarah, as Bank is the owner of the vehicle and only transfers its usufruct to the customer, hence, customer is responsible for any risks and liabilities attached to the usage of the vehicle, while risks relating to ownership remain with the Bank throughout the Ijarah period.
# |
Description |
Responsibility |
1. |
Expenses related to ownership |
Bank |
2. |
Expenses related to use of asset |
Client |
3. |
Risk associated with ownership |
Bank |
4. |
Risks associated with use of asset |
Client |
5. |
Third party liability in case of accident |
Client |
6. |
Expenses and risks associated with ownership but caused due to gross negligence |
Client |
|
| When does the rental start is Askari Ijarah Bis Sayyarah? |
As Ijarah, by definition, is “rental paid for the usufruct of an asset” hence, rental payment always starts with delivery of the vehicle to the user, unlike conventional lease, where lease installments start right after the payment to the vendor by the lessor. |
Is there any penalty involved if one fails to pay the Rental on time? |
In Ijarah, nominal additional charges are taken by the Bank due to any delay in rental installment(s) by the customer, which are used for “charity” purposes, rather than going into the income of the Bank, as it is done in the case of conventional lease. This concept of charging “penalty” is approved by the contemporary Shariah Scholars to allow the Banks to safeguard themselves against the “habitual defaulters”. |
| Does Askari Islamic Banking charge Takaful/ Insurance? |
It is a requirement of the State Bank of Pakistan for auto finance / leasing institutions to insure the leased vehicle(s). Hence, we are bound to charge Takaful/ Insurance, which is within the rental installments, throughout the Ijarah period. |
| What if any mishap happens to the Vehicle? |
If the vehicle is stolen or destroyed in any mishap, unlike conventional lease, Ijarah rentals will not be charged, and security is refundable in this case. However, this is subject to there being no misconduct, or negligence, on part of the client. |
| How the client becomes owner of the Vehicle? |
Once the client successfully repays the whole Ijarah rental, Bank gives him / her the opinion to become the owner of the vehicle, against the security already deposited with Askari Islamic Banking. |
| Key features: |
- Prompt Processing Time.
- Facility to acquire more than One Vehicle.
- Facility Income Evaluation Plan.
- Low Security Deposit.
- Competitive Profit Rates.
|
| You are Eligible if you are: |
- A Pakistani National.
- Earning at least two time more than your monthly Car Ijarah rentals.
- Between 21 to 60 years, (for salaried class), and of age, till the maturity of the lease period.
- Employment experience of minimum six months in a permanent capacity in the current organization.
- Being in business for at least on year.
|
| Documents Required: |
(For Business Person)
- Copy of CNIC.
- Two recent passport size colored photographs.
- Last six months Bank statement(s).
- Residential utility bills (as a proof of residence).
- Business proof required.
- Copy of valid driving license (optional).
- Two references.
- Bank’s Signature Verification form.
(For salaried person)
- Copy of CNIC.
- Two recent passport size colored photographs.
- Last six months Bank statement(s).
- Recent salary slip.
- Employment certificate.
- Residential utility bills (as a proof of residence).
- Copy of valid driving license (optional).
- Two references.
- Bank’s Signature Verification form.
(For self-employed person)
- Copy of CNIC.
- Two recent passport size colored photographs.
- Last six months Bank statement(s).
- Copy of professional degree/certificate.
- Residential utility bills (as a proof of residence).
- Copy of valid driving license (optional).
- Two references.
- Bank’s Signature Verification form.
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Assuring you of our preferred attention and
Shariah Compliant Solutions at all times |
