TAJBank is Nigeria's second full non-interest bank and its sukuk pioneer: licensed in July 2019, operating from December 2019 with pioneer branches in Abuja and Kano, N953 billion in assets by end-2024 (up 84% in a year), and the first corporate in West Africa to list a sukuk on the NGX. Its retail vehicle product is the Cost Plus Asset and Auto Finance, a Murabahah that finances cars alongside other assets. The structure is sound and the flexibility is real; the disclosure is the thinnest among the major banks' car products. Verified from TAJBank's pages, August 4, 2026.
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How it works
You identify the asset, a car or otherwise. TAJBank buys it, takes ownership, and resells it to you at a price equal to its cost plus a fully disclosed profit margin, repayable on a monthly, quarterly or annual plan tailored to your cash flow. That scheduling flexibility is the product's genuine differentiator: a consultant paid by project, a farmer paid at harvest, or a trader with seasonal cycles can match instalments to income in a way Jaiz's monthly-from-salary model does not allow. The price is fixed at contract and does not re-price against any benchmark. A companion Lease (Ijara) Finance covers the hiring of services and assets at a service fee plus markup. Shariah oversight comes from TAJ's Advisory Committee of Experts, chaired by Asst. Prof. Dr. Ziyaad Mahomed of INCEIF University in Malaysia, who also chairs HSBC Amanah Malaysia's Shariah board, with Prof. Muhammed Tabiu SAN and Dr. Sa'id Adekunle Mikail as members.
The published record
| Term | Detail |
|---|---|
| Structure | Murabahah (cost-plus asset sale); companion Ijara lease |
| Assets covered | Vehicles and other assets |
| Repayment | Monthly, quarterly or annual, tailored to cash flow |
| Profit margin | Not published |
| Down payment | Not published |
| Maximum amount | Not published |
| Maximum tenor | Not published |
Four not-published rows is a lot even by Nigerian standards. Jaiz at least publishes its 48-month cap; Lotus publishes financing share, equity and tenors. At TAJ, the entire commercial shape of the deal, how much, how long, how much down, at what margin, emerges only inside the application. The bank states that cost and profit are fully disclosed to the customer, which is the Shariah requirement, but disclosure at signing is not the same as disclosure while shopping.
Who this product genuinely fits
The cash-flow-matched repayment makes TAJ the natural first conversation for buyers whose income does not arrive monthly: the self-employed, professionals on project income, agri-linked earners, and traders. It is also a fit for buyers already inside TAJ's ecosystem, which is substantial: 50-plus branches, a 13,000-strong agent network, and particular depth in Abuja, Kano and the north. For a straightforward salaried buyer, Lotus's specified terms and Jaiz's salary-based model give you more visible product to compare, and you should quote at least one of them alongside TAJ regardless. See the full market comparison.
Strengths and weaknesses
- Strength: repayment frequency matched to real cash flows, unique flexibility among the major products.
- Strength: covers assets generally, so a vehicle-plus-equipment purchase can run through one facility.
- Strength: a heavyweight, internationally credentialed Shariah board and a large, fast-growing institution behind the contract.
- Weakness: no published margin, deposit, cap or tenor; the least visible pricing of any major car product.
- Weakness: no dedicated auto product features (no servicing bundle, no published takaful arrangement on this line, no affordability cap).
- Weakness: eligibility criteria are not detailed on the page, so even qualification is a branch conversation.
Verdict
TAJBank's auto finance is a sound Murabaha wearing a blank price tag. If your income is irregular, the scheduling flexibility is worth the opacity of the application process; if it is monthly, make TAJ compete against Lotus and Jaiz on paper. In all cases the discipline is the same: total repayment figure, down payment, tenor and early-settlement policy, in writing, before you commit. Run the affordability numbers first in what a N20 million car really costs.
Where TAJ's ecosystem changes the calculus
The product page's silence undersells the institution around it. TAJ's 13,000-plus agent network and northern branch depth mean onboarding and servicing reach buyers far from banking halls; its zero-maintenance deposit accounts make the required relationship cheap to hold; and its Letter of Credit dealership and FX licences matter to anyone whose vehicle purchase touches importation. For a Kano trader, a Sokoto professional or an Abuja business owner already inside TAJ's ecosystem, consolidating the car purchase there has real convenience value that a pure rate comparison misses. The discipline stands regardless: convenience is worth something, not everything, and the margin still needs to be seen in writing.
Frequently asked questions
TAJ offers both Murabahah and Ijara: which applies to my car?
The Cost Plus (Murabahah) product is the primary vehicle-purchase route: the bank buys the car and resells it to you at a fixed disclosed price. The companion Lease (Ijara) Finance covers hiring of assets and services at a service fee plus markup, useful where you want usage without immediate ownership or are structuring around business cash flows. Ask the branch to quote your purchase both ways with the ownership, takaful and early-exit treatment stated for each; the comparison costs nothing and reveals how the bank prices asset risk.
What does annual repayment actually look like on a car?
It is the product's most distinctive published feature: a buyer paid annually (a farmer after harvest, a contractor on project completion) can schedule instalments to land when the money does, instead of defaulting monthly against income that arrives yearly. The price of that flexibility is discipline: an annual instalment is a large number, and the fixed Murabaha price means missing it does not grow the debt but does trigger default mechanics. If you take annual scheduling, hold the instalment in a non-interest account across the year rather than trusting future liquidity.
How do I evaluate a quote with no published benchmark at TAJ?
Arithmetic, then comparison. From the offer letter, take the total Murabaha price minus the car's cash price: that difference, spread over the tenor, is your cost of finance; annualize it against the outstanding balance to get an effective rate. Test it against the market's published anchors (15.5% flat at AltBiz, 28-30% at EnerJaiz, 30% at AltLease) and against a written Lotus or Jaiz quote for the same car. TAJ competes hard for retail flow; a buyer holding a rival's written number negotiates from strength.
Is TAJBank safe to commit to for a multi-year obligation?
By the visible measures, yes: N953 billion in audited assets, an 84% growth year, N18.2 billion profit before tax, NDIC insurance, ISO certifications, and a Shariah board of international standing. No Nigerian bank review should pretend to see around corners, but a four-year Murabaha also cuts your way: your price is fixed at signing, and institutional turbulence cannot reprice a consummated sale. The counterparty risk in a Murabaha you are repaying is modest; the diligence belongs on the contract terms.
Compare providers in your state
See side-by-side comparisons of Shariah-compliant products, or let our matcher recommend the best options for your situation.
Does TAJ finance used vehicles?
The product page does not publish sourcing or age rules, so ask the branch before committing to a seller. Structurally the same logic applies as everywhere in this market: the bank buys the car before selling it to you, which favors dealers and documented provenance over private sales. Our new vs tokunbo guide covers how the whole market treats used stock, and the discipline is identical at TAJ: get the answer in writing before the search narrows to one car.