Meezan Car Ijarah 2026: 30% Security Deposit, Rs 3,800 Fee, Eligibility and Documents in Pakistan

Ijarah means leasing. The bank buys the car and rents it to you for a fixed period. When the last rental is paid, the car is sold to you for a token amount or gifted to you. Rentals start only after the car is delivered, not at booking.

Meezan Car Ijarah terms for resident customers in 2026

For a customer living in Pakistan, Car Ijarah covers new and used locally assembled cars for 1 to 5 years. The security deposit starts at 30%, or 15% for cars up to 1000cc. Meezan also pays the withholding tax on the car's purchase.

The Rs 3 million cap is a State Bank rule, and it counts every car loan you hold at any bank or finance company. If you already owe Rs 1 million on another car loan, Meezan can finance at most Rs 2 million more. The same cap applies at other banks, as our page on car financing rates and limits explains.

Meezan Car Ijarah rental rates are quoted per car

For resident customers, Meezan works out the monthly rental per car, tenure and deposit through its Car Ijarah calculator and at the branch. For Roshan Digital Account holders it publishes fixed rates of 14.18% to 14.34% a year and a variable rate of 11.74%.

The calculator on the Car Ijarah page lists cars from Suzuki, Toyota, Honda, Kia, Hyundai, MG, Changan, Chery and Jetour. You choose salaried or businessman, new or used car, the tenure, the deposit and whether the car is ready for delivery or still on booking. Run it for two or three deposit levels before you visit the branch, because a bigger deposit cuts both the rental and the total profit you pay.

Meezan says the rental is linked to market rates, the same benchmarks a conventional bank uses. What makes it Islamic is the lease structure, not a lower price. If you want to weigh the two systems, see Islamic and conventional car finance compared.

Who can get Meezan Car Ijarah

Permanent employees need 3 months in the current job and 2 years of total work history. Contractual staff need 6 months and 3 years. Businessmen need 2 years in the same business. Take-home income must be more than twice the monthly rental, including Takaful.

• Debt limit: all your monthly loan payments, including the new rental, must stay within 40% of take-home pay. For cars up to 1000cc the limit is 50%.
• Spouse's income: 50% of a spouse's verifiable income can be added to yours.
• Businessmen: you must be a proprietor, partner or director. For partners and directors, only your share counts.
• Credit record: your e-CIB and Data Check reports must be clear, with no default or overdue amount when the case is approved.

Late payments stay on your e-CIB report for two years after you settle them, under the State Bank's rules. Pull your own report first with our steps to check your eCIB credit report, so an old overdue card bill does not surprise you at approval.

Residual Value Ijarah gives a lower rental with a final payment

Under Residual Value Ijarah you agree to pay a set share of the car's price at the end. That cuts the monthly rental. At the end you either pay that amount and keep the car, or return the car to Meezan Bank.

The security deposit for Residual Value Ijarah is 30% to 50% of the car's cost, and it is offered for new locally assembled cars. It is not offered to Roshan Digital Account holders. Choose it only if you can save the final amount, or are happy to hand the car back.

How to apply for Meezan Car Ijarah

Fill in the Car Ijarah application form at any Meezan Bank branch and attach your income proof, six months of bank statements and a photograph. Approval comes after the bank checks your income and credit record. You then pay the deposit and fee.

1. Pick the car and price it in the Car Ijarah calculator on Meezan Bank's website.
2. Collect the application form, signed by you, and a specimen signature card.
3. Attach a recent pay slip or salary certificate if salaried, or business proof such as an NTN, tax return, bank certificate or business association letter.
4. Add your last six months of bank statements and one recent photograph.
5. Submit everything at a branch, then pay the security deposit, the Rs 3,800 fee plus FED and documentation charges at actual cost once approved.
6. Pay the monthly rental by post-dated cheques or a debit instruction after delivery.

Meezan Car Ijarah charges, early termination and late rentals

Besides the Rs 3,800 fee, you pay documentation, valuation of a used car and income estimation at actual cost. Ending the Ijarah early means buying the car at the price in the terminal value schedule. A late rental goes to charity, not to the bank.

The terminal value price is the principal still owed under the schedule plus any residual value. Premium customers who meet the criteria for six months get the processing fee waived and the full early termination profit waived. If the car is stolen or written off, Meezan stops charging rent, because under Ijarah rent is paid only for use. Once you have paid off, get the lien removed from your registration; the steps are in our page on how to remove a bank lien from your car registration in Punjab.

Car Ijarah for overseas Pakistanis on a Roshan Digital Account

Roshan Digital Account holders can finance up to Rs 10 million, two cars and up to 7 years, with no processing fee. Salaried applicants put down at least 15%, or 25% for an SUV. The car is delivered to a close relative in Pakistan who acts as nominee.

Businessmen abroad pay at least 25%, or 35% for an SUV. Rentals are debited from the PKR Roshan Digital Account. A non-filer pays 4% advance tax on the car's cost at delivery. Toyota, Honda, Suzuki and Kia cars are offered under this plan. Read our overview of Roshan Apni Car for how the scheme works across banks.

Common questions

What is the minimum down payment for Meezan Car Ijarah?

The security deposit is at least 30% of the car's cost for resident customers, and 15% for locally assembled cars up to 1000cc. Residual Value Ijarah needs 30% to 50%.

What is the Meezan Car Ijarah processing fee?

Rs 3,800 per case plus FED for a domestic car, under the July to December 2026 schedule of charges. It is free for Women First customers.

Does Meezan Bank finance used cars?

Yes. Car Ijarah covers used locally assembled cars with a security deposit as low as 30%, or 15% for cars up to 1000cc. The bank values a used car at your cost.

Is there a late payment penalty in Meezan Car Ijarah?

You sign an undertaking to pay a set amount to charity if a rental is late. The bank keeps that money in a charity fund and does not take it as income.

Can I end Meezan Car Ijarah early?

Yes. You buy the car at the agreed price in the terminal value schedule, which is the principal still owed plus any residual value. Premium customers get the early termination profit waived.

How much can I borrow under Meezan Car Ijarah?

Up to Rs 3 million for resident customers, counting all your car financing at every bank. Roshan Digital Account holders can go up to Rs 10 million.

How we verified this

What we checked and where we read it.

We read Meezan Bank's Car Ijarah page, including its eligibility, documents, Residual Value Ijarah and Roshan Digital Account sections and its calculator, and the schedule of service charges for July to December 2026, section P, on 15 November 2026. The Car Ijarah page gives a 30% minimum deposit in its feature list and 15% for cars up to 1000cc in a note under used car financing. The published fixed and variable rates on the page sit under the Roshan Digital Account section only.