Ijarah Calculator
Calculate your Islamic lease (Ijarah) monthly rentals, total cost, and ownership transfer schedule.
Islamic Lease Finance Calculator
Calculate Shariah-compliant lease payments for vehicles, property, or equipment
Understanding Ijarah
What is Ijarah?
Ijarah is an Islamic leasing contract where the bank purchases an asset and leases it to the customer for a fixed rental. Unlike conventional loans, the bank maintains ownership during the lease period and bears ownership-related risks, making it Shariah-compliant.
Types of Ijarah
- Operating Ijarah: Pure lease with no ownership transfer
- Ijarah Muntahia Bittamleek: Lease ending with ownership transfer
- Ijarah wa Iqtina: Lease with promise to sell
- Ijarah Thumma Al-Bay: Lease then sale
Key Features
- Bank owns the asset during the lease
- Fixed monthly rental payments
- Profit rate instead of interest
- Major maintenance is lessor's responsibility
- Ownership transfer at end (if IMB)
Shariah Compliance
- No Riba (interest) - profit from genuine lease
- Real asset-backed transaction
- Risk sharing between parties
- Transparent pricing structure
- Approved by Islamic scholars