Is Selling Your Car Voucher Sharia-Compliant? The 5 Questions to Ask Before You Transfer It

Wednesday, August 20, 2025

Car voucher drama: before you hand over that allocation for a quick profit, check the contract, the price you’re charging, and whether your scholar says it’s halal.

Is Selling Your Car Voucher Sharia-Compliant? The 5 Questions to Ask Before You Transfer It

In recent years, transferring car allocations (havāleh-e khodro) has become one of the controversial topics in transactional practice due to sharp price fluctuations in the automobile market. From a religious (Sharia) perspective, this matter has various dimensions which we examine below.

The ruling on transferring a car allocation in Islam

Before assessing the Sharia ruling on transferring a car allocation, it is necessary to provide a precise definition of “havāleh.” Havāleh means the transfer of a right or debt from the obligation of one person to that of another. In the case of a car allocation, the holder of the allocation has the right to purchase a specified car at a set price and may transfer this right to another person.

Juristic opinions about transferring car allocations

Islamic jurists hold different views about the religious ruling on transferring car allocations. Some jurists permit the transfer provided that certain conditions are observed, while others consider it impermissible due to particular legal or Sharia concerns.

Factors affecting the religious ruling

  • Type of the contract: If the original purchase contract was concluded under terms that prohibit transferring it to a third party, the transfer of the allocation will not be permissible.

  • Sale price of the allocation: If the sale price of the allocation yields an excessive or usurious profit for the seller, the transaction is impermissible (haram).

  • Market conditions: The state of the car market and severe price volatility may influence the religious ruling on transferring the allocation.

Notes to bear in mind

Consult a Sharia expert

To ensure the permissibility of a transfer transaction, it is better to consult a qualified Sharia expert.

Review the contract

Before concluding the transaction, carefully examine the original car purchase contract to confirm whether it contains clauses that prohibit transfer of the allocation.

Comply with national law

In addition to Sharia rulings, the laws of the country must be observed in conducting such transactions.

Conclusion

The Sharia ruling on transferring a car allocation depends on various factors and no single, universal ruling can be given. Therefore, it is recommended that one consult a competent Sharia scholar before carrying out any such transaction.



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