Bay bithaman ajil (BBA)
A sale at a deferred price, paid later or in instalments; the name used in Malaysian practice for deferred-payment sale financing.
Bay bithaman ajil is a sale in which the price is deferred to a certain date or paid in instalments. Bank Negara Malaysia's compilation of Shariah Advisory Council resolutions defines it as a sale contract based on deferred payment at a certain price, and treats bay al-muajjal as the same contract under another name. In Malaysian practice it was widely used for fixed-price home and asset financing, and the Council's resolutions deal with its rebates on early settlement and its use as the basis of sukuk.
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This entry explains a term; it is not a Shariah ruling. Approving a product is for each institution's own Shariah board and regulator.