Emirates Islamic Bank (EIB) Car Loan in UAE

Emirates Islamic Bank is a Sharia-compliant bank established in the UAE in 2004. The bank is known for catering to both individuals and corporates on a large scale. With Emirates Islamic Bank specialising in both retail and business banking, it is able to offer an array of services and products.

One of these top-preferred Islamic banking products is Emirates Islamic Bank car loans. Offering some of the best possible car loan interest rates, Emirates Islamic Bank ensures easy financing of your dream car with the tenure of your choice. Without further ado, let’s check out some of the key aspects related to Emirates Islamic Bank Car Loans.

Features and Benefits of Emirates Islamic Bank auto finance 

• Low-Interest Rate: Offering some of the lowest possible interest rates, Emirates Islamic Bank car loans are counted among the most affordable car loans in UAE. Their base interest rates start as low as 2.15% for UAE nationals and 2.29% for ex-pats. It gets even better for salaried individuals, who can get further discounts in interest rates and score a rate around 1.80% to 2.95% as well. The interest rates you receive depend on all factors that influence the Emirates Islamic Bank car loan interest rates. 
• High Loan amount: Emirates Islamic Bank car loans can be sanctioned for sums up to AED 1.5 million. The loan is allotted as per the discretion of the bank and as per your repaying capacity. With loan amounts as high as this, you can easily finance your dream car without any apprehension. However, keep affordability in mind and choose a loan amount that maintains a low debt to income ratio. 
• Flexible Tenure: Emirates Islamic Bank auto finance provides the option of a flexible loan tenure to customers, with the bank offering a maximum of 60-month-long tenure. The minimum available tenure is 1 year. Any time between 12 and 60 months can be chosen as your Emirates Islamic Bank car loan tenure as per your requirement. 
• Up to 80% Financing Amount: Emirates Islamic Bank vehicle loan can be used to finance up to 80% of your vehicle’s value. The rest 20% has to be covered in a down payment by the borrower. Emirates Islamic Bank auto loans can also be used to finance the insurance plan, the VAT, and the accessories of your vehicle. 
• Used Car Financing: With Emirates Islamic Bank, people exploring car loans to finance used cars can stop their search. The only aspect to remember here is that the used car that you want to get financed must be evaluated by an Emirates Islamic Bank approved dealer first. Interest rates available for used cars are different from new car Emirates Islamic Bank auto loans. 
• Quick Processing: It usually takes only a mere 4 hours for Emirates Islamic Bank car loan applications to get processed. Once your application has been processed, the bank connects with you to take the application further. Your whole application process takes no more than a few days to get completed. 

Types of Emirates Islamic Bank Car Loans

Emirates Islamic Bank offers three different kinds of car loans in the UAE – car loans for new cars, used cars, and certified pre-owned car loans. Given below is a brief description of the same:

• Emirates Islamic New Car Loan: The cars you buy directly from the showroom are classified as new cars, and you become the first owner of these cars. Emirates Islamic Bank car loans cover not only the showroom price of the car but the VAT applicable on the price of the car as well. Another thing to note here is that Emirates Islamic Bank offers finance for insurance of the vehicle as well. 
• Emirates Islamic Used Car Loan: If you are planning to buy a second-hand car, Emirates Islamic Bank car finance can help you realise your dream. Compared to most other banks, used car loans at Emirates Islamic Bank are as easy to attain as new car loans. You just have to get the car evaluated by an approved dealer and present the transfer of ownership letter along with other documents. Emirates Islamic Bank car loan interest rates available for used cars are some of the lowest possible car loans interest rates offered in the UAE.
• Emirates Islamic Certified Pre-Owned Car Loan: Emirates Islamic Bank car loan interest rates available for certified pre-owned cars are as low as the interest rates available for new cars. Moreover, you don’t even need to get these cars certified from Emirates Islamic Bank approved dealers to get the financing approved. 

Emirates Islamic Bank Car Loans Interest Rates

Eligibility Criteria of Emirates Islamic Bank Car & Auto Loan

• Age: An applicant must be at least 21 years of age to be eligible for taking the Emirates Islamic Bank auto loan. Applicants younger than that are not eligible to access the Emirates Islamic Bank auto finance services. 
• Nationality: Both UAE nationals and residents are eligible to apply for an Emirates Islamic Bank car loan in the UAE. However, every applicant must carry all the required identification documents as requested by the bank. UAE nationals can utilise Emirates ID as their sole form of identification. On the other hand, residents will require a passport as well as a resident’s visa for identification. Nevertheless, a passport may be required for nationals as well. 
• Income: Every Emirates Islamic Bank car loan salaried applicant must have a minimum of AED 4,000 as their monthly income. For self-employed applicants, a monthly income of at least AED 20,000 is required for loan applications. 
• Credit Score: While there are no set criteria for a minimum credit score to apply for an Emirates Islamic Bank vehicle loan, every applicant must maintain a fair score, to begin with. A credit score of 580 is usually categorised as “fair” in terms laid out by AECB. Credit scores higher than 700 are considered “good”, and give the applicant a higher chance of loan approvals. 
• Car Insurance: Any vehicle to be financed by Emirates Islamic Bank car finance must be insured by comprehensive Islamic car insurance in the UAE. One should take a special note of this fact, as a conventionally insured vehicle cannot be financed using Emirates Islamic Bank car loans. Consequently, if a used car is to be financed, it has to be evaluated by an Emirates Islamic Bank approved dealer first. 

Documents Required for EIB Car Loans in the UAE

How to Apply for Emirates Islamic Bank Car Loans in the UAE?

• Online: Visit policybazaar.ae or the official website of Emirates Islamic Bank to apply for a car loan online. Go to the car loan page and section on the website and open the lead form. Use your basic personal details like name, phone, address, etc. to fill out the lead form. Once you submit this form, you will be presented with a list of suitable car loan options to finance your vehicle. Select one and proceed to fill out the application form. Again, make use of your basic details to fill out the application form. Once you submit your online Emirates Islamic Bank car loan application, the bank will evaluate it and get back to you to complete the further steps.
• Offline: To apply for Emirates Islamic Bank car loans offline, visit one of the nearby branches of the bank and head to the authorised car loan counter. Connect with an executive there and ask them for an application form. Fill out your car finance application and attach the required documents with it. Submit your application form, pay the processing, and sit tight for approval. As per the bank standards, the processing is completed within 4 hours of application submission. Once you receive approval for your loan application, you can proceed further with the rest of the steps involved. 

Emirates Islamic Bank Used Car Loan -  Eligibility, Interest Rate & Benefits

Emirates Islamic Bank Car Loan Calculator

If you want to avoid the complex calculations regarding loan repayments, you can always use the Emirates Islamic Bank car loan calculator to easily calculate the equal monthly payments for your Emirates Islamic Bank auto finance. Emirates Islamic Bank Car loan calculator is rather simple to use, as all you need are a few particulars to fill the required fields to get an estimate of the equal monthly payments you will have to make. 

Determine the loan amount required, the tenure of the loan, and the plausible interest rate. Once you fill out these particulars, the calculator will automatically present the instalment amount at the bottom. By sliding the cursor, you can also change your loan amount or tenure which will automatically reflect in the estimated instalment amount. You can also change the interest rate to change the resulting instalment amount. 

Emirates Islamic Bank Car Loan Fees and Charges

All charges and fees are inclusive of VAT.

Important Terms and Conditions for Emirates Islamic Bank Auto Loans

• If you are getting a vehicle financed under your name, you must be present at both the time of approval of the loan and all the negotiation meetings. This applies even when the vehicle is registered in your spouse’s name.
• The maximum available Emirates Islamic Bank auto finance amount is AED 1.5 million. Further terms and conditions may apply at the bank’s discretion. 
• The maximum and minimum limits applicable on the processing fee of 1% + VAT are AED 2,500 and AED 500 respectively. 
• You must have valid auto insurance for the vehicle to be financed with documented proof to get the approval for the Emirates Islamic Bank Car loan. 
• The allowed grace period to make the first monthly payment of your Emirates Islamic Bank Car loan is 60 days.
• Buying out or rescheduling your Emirates Islamic Bank auto finance is not permitted under the scheme. 
• Deferred payments are allowed for Emirates Islamic Bank auto finance, although a fee of AED 105 will be levied on each deferred payment. 
• Early settlement of Emirates Islamic Bank car loan is available. A fee of 1.05% calculated on the total due amount will be applicable. You can settle a maximum of AED 10,500 with one early settlement request. 
• Rates of interest given for Emirates Islamic bank are subject to change at the bank’s discretion and are indicative. This means that the actual rate of interest you will get may be different, being influenced by factors like credit score, credit history, income level, etc. 

Emirates Islamic Bank Auto Loan Contact Number and Details