The Trade Department usually gives prizes (e.g., briefcases, etc.) to its customers who buy cars. In order to give unique prizes and at the same time promote the VISA finance card, it has been suggested that a murabahah customer who buys a car or another commodity be given a prize by issuing him a VISA credit card. The annual participation fee would be added to the total commodity value in all cases where the sale is made to a targeted customer; i.e., a customer with an investment, current or saving account and having a salary of not less than 400 Kuwaiti dinars that is transferred to this account. Note that the card will be given as a prize to this customer, but the participation fee will not be deducted if the customer declines to take the card for any reason.
- What is the ruling on adding the participation fee to the commodity total value and giving the card as a prize to the customer?
- What is the ruling on not refunding the participation fee or not deducting it from the commodity total value even if the customer refuses to take the card?
It is not allowed to promote the VISA finance card as a prize to the customer who buys a commodity or a car from KFH by adding the card cost to the price of the commodity or the car. That is because the implication of a gift and the implication of a sale are mutually exclusive.
Kuwait Finance House