Car Loans for UAE Nationals

Is buying a new car on your wishlist? To make your dreams turn into a reality without breaking your savings or budget, financial institutions in the UAE offer excellent auto loan options. This is especially the case of car loans for UAE nationals, with lenders rolling out customised car loan products for UAE nationals at fixed and reducing interest rates that you can certainly take advantage of. 

To help you choose an auto loan in UAE, we have compiled a list of some of the top lenders offering car loans for UAE nationals. Go through the article below to know more about each loan product comprehensively.

Top Banks Offering Car Loans for UAE Nationals

Mentioned below are the top lenders in the UAE providing car loans for UAE nationals – 

1. First Abu Dhabi Commercial Bank
2. Emirates Islamic Bank
3. Abu Dhabi Islamic Bank
4. Mashreq Bank
5. Abu Dhabi Commercial Bank
6. HSBC

First Abu Dhabi Commercial Bank (FAB)

First Abu Dhabi Bank is one of the prominent banks in the UAE when it comes to offering credit services to the different market segments of society. This also extends to car loans, among UAE nationals' top choices, given the extensive range of advantages and features. 

Features and Benefits of FAB car loan for UAE nationals are listed below – 

• The car loan product by First Abu Dhabi Commercial Bank for UAE nationals is Islamic car finance (UAE nationals)
• The maximum loan amount provided by the bank is AED 1.5 million or up to 80% of the value of the car
• Both fixed and reducing rates of profit on car loans are offered - 
  • Fixed interest – 2.49% per annum
  • Reducing rate of interest – 4.72% per annum
• The loan is available for both new and used vehicles
• It offers a 120 days’ grace period for the first instalment
• The minimum monthly salary required to avail of this car loan for UAE nationals is AED 7,000
• The offer is valid solely for salaried individuals
• Vehicle certificate, UAE driving licence, bank statements, Murabaha request form, and copies of valid residence visa and Emirates ID are some documents required to apply for the loan

Emirates Islamic Bank (EIB)

Established in 2004, Emirates Islamic Bank offers car loans to both nationals and expatriates. The auto finance product of Emirates Islamic bank is known as Intaleq and adheres to Shariah laws and regulations. Flexible repayment periods, easy approvals, minimal documentation, and attractive profit rates are some advantages of getting a car loan from Emirates Islamic Bank. 

Features & Benefits of car loans for UAE nationals in-depth, refer to the listed points – 

• Emirates Islamic bank is Shariah compliant and its auto finance scheme is called Intaleq
• It offers a flat profit rate on car loans, starting from 2.15% per annum for UAE nationals
• The bank offers a flexible repayment period of up to 5 years - you can choose the period as per your choice within this limit
• You get a grace period of 60 days for the first instalment with this loan option
• The approval of a car loan may get done as quickly as 4 hours
• Auto finance is available for multiple vehicle brands, including new, certified pre-owned, and used vehicles
• A salary transfer is not required to avail of this loan product by Emirates Islamic Bank
• This car loan product is a regular Murabaha product and can finance insurance, accessories, and VAT
• A salary certificate, three months' bank statements, a copy of a valid passport with a residence visa, a security cheque, an insurance certificate, and a post-dated cheque are some of the documents required for this car loan for UAE nationals by Emirates Islamic Bank 

Abu Dhabi Islamic Bank (ADIB)

Founded in 1997, Abu Dhabi Islamic Bank (ADIB) is one of the most known banks and financial institutions with respect to Islamic financing in the UAE. As the first Islamic bank set up in Abu Dhabi, ADIB offers its customers a wide range of banking and credit facilities. 

One of the popular products offered by Abu Dhabi Islamic Bank is car loans.

Features and Benefits of the ADIB car loan for UAE nationals -

• The car loan product for UAE nationals offered by Abu Dhabi Islamic Bank is titled ‘Car Finance’
• With this loan, you can get financing for up to 80% of your car’s value (up to AED 500,000)
• The loan product is available for both new and used cars
• The minimum salary required to obtain this loan is AED 5,000
• You can get a flexible repayment tenure of up to 60 months or 5 years
• A notable benefit of this car loan in UAE is its instalment deferment, where you can have 1 deferment per year 
• The first instalment payment grace period is of 90 days 
• Some important documents for the loan application process include the latest salary transfer letter, three months' bank statements, an original & copy of a valid Emirates ID, passport, and driving licence

Mashreq Bank

You can quickly get your dream car using a car loan from Mashreq, which offers car loans through its Islamic Banking wing Mashreq Al Islami. Mashreq Bank, listed on the Dubai Financial Market since 2000, offers car loans to both UAE nationals and expatriates. 

Apart from high loan amounts, you can enjoy several benefits with Mashreq Bank auto loans such as free bank accounts, competitive interest rates, and so on.

Features & Benefits of the Mashreq bank car loan for UAE nationals – 

• You must have a salary of at least AED 5,000 to apply for this car loan
• As a borrower, you can take advantage of the free current account with no minimum balance with this car loan
• The flat interest rates for this car loan start from 3.45% (per annum)
• You can get a high loan amount of up to AED 500,000 with this car loan for UAE nationals
• Enjoy high flexibility with repayment options, with the tenure ranging between 12 and 60 months
• Get a credit card that is free for life with this loan
• Duly filled and signed application form, driving licence, bank statements, valid passport & Emirates ID, and trade licence copy are among the documents required for the loan

Abu Dhabi Commercial Bank

Abu Dhabi Commercial Bank, also referred to as ADCB, is a UAE-based financial institution that offers a plethora of banking and credit services. The bank extends the facility of car loan to UAE nationals, with these loans being available at fixed and reducing interest rates with a simple documentation process. Remarkably, you can earn TouchPoints and get additional benefits with this auto loan for UAE nationals. 

Features and Benefits of the ADCB car loan for UAE nationals -

• One-signature application process
• Easy and quick approval process
• The maximum finance amount provided by the lender to UAE nationals is AED 1.5 million or up to 80% of the car's value
• With every AED 1,000 loan amount, you get 50 free TouchPoints
• The insurance finance option is available with this auto loan
• The flat and reducing rates of interest are as follows - 
  • Flat interest rates starting from 1.99% per annum
  • Reducing interest rates starting from 3.65% per annum
• Abu Dhabi Commercial Bank offers a flexible repayment tenure of up to 60 months
• The minimum salary required to obtain a car loan is AED 5,000
• The loan is available for salaried employees, self-employed individuals, and companies

HSBC Bank

HSBC Bank is one of the largest and oldest financial institutions in the UAE. HSBC traces its history back to 1865, while its existence in the UAE goes back to 1946. The bank offers both consumer and corporate banking products and services in the UAE, with its extensive array of credit facilities such as car loans and more. 

HSBC car loans are affordable and require minimal paperwork. From inside-out inspection to RTA registration, HSBC offers several benefits along with its auto loans.

Features & Benefits of the car loan for UAE nationals by HSBC Bank – 

• Avail of a car loan at flat interest rates starting from 1.99%
• In case you opt for complete financing, you can have a discount of 0.25% on the flat interest rate
• HSBC offers a special flat interest rate for Tesla electric vehicles at 1.74% 
• If you wish to change your car every 2-3 years, a balloon repayment option with a reduced monthly payment is available for the same
• You can avail of this car loan without opening an account 
• You can get a loan amount of up to AED 600,000
• This loan product is available for all types of vehicles including  saloon, four-wheel drive, and motorcycles
• Concierge service is available with HSBC car loans for UAE nationals
• The loan can be obtained for both new and used cars
• HSBC offers a 0.15% discount on the applicable interest rate for hybrid vehicles
• The green car loan is also available for electric and hybrid cars

Frequently Asked Questions (FAQs)