Personal Loan with Salary Transfer

Most banks and financial institutions have set criteria for personal loans. In the UAE, the applicant is required to meet a minimum salary threshold for personal loans, which could be, say, 5,000 AED, or any other amount. As one can imagine, the reason for the same is fairly straightforward. With personal loans typically being unsecured in nature, loan issuers have to ensure the applicant’s ability to pay monthly installments. One of the major ways to gauge such capability is based on the applicant’s monthly salary along with other factors.

A salary transfer loan rewards the loan-borrower for maintaining an account with the bank and transferring their salary into it every month. While there are numerous options for personal loans in UAE without a salary transfer, following are the benefits offered in personal loans in the UAE for salary transfer.

Salary Transfer Personal Loan Interest Rates

The personal loan interest rates for salary transfer loans in the UAE are considerably lower than those offered to personal loans in the UAE without a salary transfer. The personal loan interest rates are calculated in two ways: 

• Flat Interest Rate: This type of personal loan interest rate remains fixed, and is charged on the full salary transfer loan amount. The flat interest rate for salary transfer personal loan starts from 2.55% per annum
• Reducing Interest Rate: In reducing personal loan interest, the rates decrease every month after the deduction of EMI from the borrower's salary. This interest is charged on the outstanding principal of the personal loan. The reducing interest rate for salary transfer personal loan starts from 4.99% per annum.

Top 10 Banks offering Personal Loans with Salary Transfer

Here is an analytical comparison of the best personal loan providers for personal loan in uae with salary transfer and maximum loan amount at the lowest interest rate and minimum salary requirements. 

Citibank Personal Loan 

Citi bank offers personal loans with maximum amounts of up to AED 500,000. 

Citi Bank Personal Loan Features

• Flexible Repayment tenors
• Quick approval and disbursement
• Simple documentation 
• Easy loan top-up on loan whenever you want (subject to bank’s discretion)
• In-principal decision within 10 minutes

Eligibility

• Minimum age of the applicant: 21.
• Salary transfer required.

Emirates NBD Personal Loan with salary transfer 

Emirates NBD bank offers personal loan with maximum amounts up to AED 4 million. 

Minimum salary requirement: AED 5000	Maximum Loan Amounts:
Flat Interest rate: 2.90%	Reducing Interest Rate:5.49%

Emirates NBD Bank Personal Loan Features:

• Flexible Repayment tenors
• Quick approval and disbursement
• Shariah-compliant
• Islamic financing
• Simple documentation 

Eligibility:

• Minimum age of the applicant should be 21.
• Salary transfer required 

 

Dubai Islamic Bank Personal Loan with salary transfer 

Dubai Islamic bank offers personal loan with maximum amounts up to AED 4 million for Emiratis, AED 2 million for expats. 

Minimum salary requirement: AED 8000	Maximum Loan Amounts:  AED 4 million for Emiratis, AED 2 million for expats
Flat Interest rate: 4.90%	Reducing Interest Rate:8.99%

Dubai Islamic Bank Personal Loan Features:

• Flexible Repayment tenors
• Quick approval and disbursement
• Shariah-compliant
• Islamic financing
• Simple documentation 

Eligibility:

• Minimum age of the applicant should be 21.
• Salary transfer required 

 

Emirates Islamic Personal Loan with salary transfer 

Emirates Islamic bank offers personal loan with maximum amounts up to AED 4 million for Emiratis, AED 2 million for expats. 

Minimum salary requirement: AED 5000	Maximum Loan Amounts: AED 4 million for Emiratis, AED 2 million for expats
Flat Interest rate: 3.90%	Reducing Interest Rate:6.47%

Emirates Islamic Bank Personal Loan Features:

• Flexible Repayment tenors
• Quick approval and disbursement
• Shariah-compliant
• Islamic financing
• Simple documentation 

Eligibility:

• Minimum age of the applicant should be 21.
• Salary transfer required 

 

RAK Bank Personal Loan 

RAK bank offers personal loan with the following: 

Minimum salary requirement: AED 5000	Maximum Loan Amounts:-
Flat Interest rate: 2.75%	Reducing Interest Rate: 4.99%

 RAK Bank Personal Loan Features:

• Flexible Repayment tenors
• Quick approval and disbursement
• Shariah-compliant
• Islamic financing
• Simple documentation 

Eligibility:

• Minimum age of the applicant should be 21.
• Salary transfer required 

 

ADCB Simply Life Personal Loan 

ADCB offers personal loan with maximum amounts up to AED 500,000. 

Minimum salary requirement: AED 5000	Maximum Loan Amounts: AED 500,000
Flat Interest rate: NA	Reducing Interest Rate: 6.99%

ADCB Personal Loan Features:

• Flexible Repayment tenors
• Quick approval and disbursement
• Shariah-compliant
• Islamic financing
• Simple documentation 

Eligibility:

• Minimum age of the applicant should be 21.
• Salary transfer required 

 

Samba Personal Loan 

Samba offers personal loan with maximum amounts up to AED 600,000. 

Minimum salary requirement: AED 5000	Maximum Loan Amounts: AED 600,000
Flat Interest rate: 4.83%	Reducing Interest Rate: 9.00%

Samba Personal Loan Features:

• Flexible Repayment tenors
• Quick approval and disbursement
• Shariah-compliant
• Islamic financing
• Simple documentation 

Eligibility:

• Minimum age of the applicant should be 21.
• Salary transfer required

 

ADCB Personal Loan 

ADCB offers personal loan with the following: 

Minimum salary requirement: AED 5000	Maximum Loan Amounts: -
Flat Interest rate: 3.45%	Reducing Interest Rate: 6.25%

ADCB Personal Loan Features:

• Flexible Repayment tenors
• Quick approval and disbursement
• Shariah-compliant
• Islamic financing
• Simple documentation 

Eligibility:

• Minimum age of the applicant should be 21.
• Salary transfer required 

 

Emirates Islamic Personal Loan for UAE nationals 

Emirates Islamic bank offers personal loan with maximum amounts up to AED 4 million. 

Minimum salary requirement: AED 10,000	Maximum Loan Amounts: AED 4 million
Flat Interest rate: 2.55%	Reducing Interest Rate: NA

Emirates Islamic Bank Personal Loan Features:

• Flexible Repayment tenors
• Quick approval and disbursement
• Shariah-compliant
• Islamic financing
• Simple documentation 

Eligibility:

• Minimum age of the applicant should be 21.
• Salary transfer required 

 

ADIB Personal Loan for Expats 

ADIB offers personal loan for expats with the following: 

Minimum salary requirement: AED 8000	Maximum Loan Amounts:
Flat Interest rate: 2.99%	Reducing Interest Rate: NA

ADIB Personal Loan Features:

• Flexible Repayment tenors
• Quick approval and disbursement
• Shariah-compliant
• Islamic financing
• Simple documentation 

Eligibility:

• Minimum age of the applicant should be 21.
• Salary transfer required 

Features and Benefits Of personal loan in UAE for salary transfer

The personal loan in uae for salary transfer is available for expats and Emiratis alike. It is the most common type of personal loan in the UAE that comes with the following features and benefits:

Loan Amount

Personal loans with a salary transfer enable the loan issuer to monitor funds and charge monthly fees. This guaranteed payment makes salary transfer loans the best personal loans in UAE for loan issuers. As such, salary transfer personal loan applicant can opt for a larger loan amount up to 4 million depends on loan provider eligibility criteria.

Bank Account

In order to avail of a salary transfer personal loan in the UAE, the applicant is required to open a bank account with the loan issuer. The loan borrower salary is transferred directly into the account every month.

Note- Salary transfer personal loans require a sign-off from the applicant’s employer as well.

Interest

The benefit of a salary transfer personal loans also extends to the rate of interest. Salary transfer loans usually charge the lowest interest rates for personal loans in the UAE starts from 2.55%.

No Collateral

As the bank is able to directly debit any unpaid amount from the applicant’s bank account, salary transfer personal loans in the UAE usually do not require a security deposit or even a guarantor.

Additional Benefits

The bonus incentives that salary transfer personal loans offer in the UAE depend on the loan issuer in question. These additional personal loan benefits may include the following:

• Free credit cards
• Life insurance
• Bank accounts

Personal Loan Eligibility Criteria for Salary Transfer

Here is personal loan eligibility in the UAE for salary transfer loans:

Age

Salary transfer personal loans in the UAE come with a minimum and maximum age criteria. For personal loans in the UAE for expats, these are usually set in the range of 21 years to 60 years. For Emiratis, the minimum age varies while the maximum age is set at up to 65 years.

Income

The minimum salary for personal loans in the UAE is much lower for salary transfer loans as compared to personal loans in the UAE without a salary transfer. The borrowers are required to transfer their salary into the bank account provided by the loan issuer.

Salary Transfer Certificate

Most personal loan issuers require a salary transfer certificate. This is an undertaking signed by the applicant and their employer. It is a document that allows the applicant to transfer their salary directly into the personal loan account and permits the loan issuer to automatically deduct monthly installments from the same.

Company Listing

Generally, salary transfer personal loan issuers have a list of approved companies in the UAE. It is tough to get a salary transfer personal loan in the UAE without a company listing.

Personal Loan for Salary Transfer Requirements

After meeting the salary transfer personal loan eligibility in the UAE, the next step for the applicant is submitting the following documents:

• Application Form: Application form for personal loans in the UAE can be submitted online or offline, depending on the options offered by loan issuer and the preference of the applicant.
• ID and Address: For verification purpose, personal loan applicant will have to submit any combination of Emirates ID, passport, UAE visa and utility bills.
• Employment and Income: Salary transfer personal loans in the UAE usually need the applicant’s bank statement, salary slips and a salary transfer certificate.

Note- Salary transfer personal loan eligibility in the UAE and required documents are subject to change as per the loan issuer’s discretion.

Salary Transfer Personal Loan Interest Rates

The personal loan interest rates in the UAE for salary transfer loans are much lower than those offered to personal loans in the UAE without a salary transfer. These personal loan interest rates are calculated in two ways:

• Flat Interest Rate: This type of personal loan interest rate remains fixed and is charged on the full salary transfer loan amount.
• Reducing Interest Rate: Reducing personal loan interest rates decrease every month when the EMI is deducted from the borrower's salary. This is charged on the outstanding principal of the personal loan.

Frequently Asked Questions

Q1- Do I need approval from my employer to apply for a salary transfer personal loan?

Yes, not all companies allow their employees to avail of salary transfer personal loans in the UAE. Most personal loan issuers require the applicant to submit a salary transfer certificate. This will need to be approved by the applicant’s employer.

Q2- Can self-employed applicants also apply for a salary transfer personal loan in the UAE?

Yes, self-employed individuals may also apply for a salary transfer personal loan in the UAE. However, the required documents may vary slightly for such applicants. Self-employed personal loan applicants will have to submit a trade license, power of attorney (or memorandum of association), bank statements and other documents as required by the loan issuer.

Q3- How can I calculate EMI for my salary transfer personal loan?

There are so many personal loan calculators available online to compute EMIs. Personal loan EMI calculations can be done free of charge.

Q4- I have just started working. Will I be eligible for a salary transfer personal loan in the UAE?

Many loan issuers impose work experience restrictions as part of the salary transfer personal loan eligibility in the UAE. The applicant may be required to have work experience anywhere between 3 months to 1 year to qualify for salary transfer personal loans in the UAE. Please note that the finance experts recommend that the applicant has a stable income before opting for a salary transfer personal loan.

Q5- Can I apply for salary transfer personal loan for non-listed companies in the UAE?

Most loan issuers do not offer salary transfer personal loans for non-listed companies in the UAE. However, employees belonging to respectable organizations may be permitted to avail of personal loans in the UAE without a company listing at the loan issuer’s discretion.