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Personal Loan in UAE

Personal loans in UAE can be used for a variety of purposes including home improvements, debt consolidation and financing a holiday. They are typically easy to apply for and offer competitive rates of interest.

Personal Loan in UAE

T&C Apply

  • Hassle-free documentation
  • EMI Tenure up to 48 Months
  • Lowest Interest Rates

Get personal loan at Lowest Interest Rate

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  • Dubai
  • Abu Dhabi
  • Sharjah
  • Ras Al Khaimah
  • Ajman
  • Other

Citibank Personal Loan

 
  • Minimum Salary AED 8,000
  • Flat Rate AED 3.8 - 4.9%
  • Salary Transfer
  • Fast Track Approval

FAB Personal Loan For Expats

 
  • Minimum Salary AED 7,000
  • Flat Rate 3.43%
  • Salary Transfer
  • Fast Track Approvals
  • comprehensive life insurance coverage
  • Flexible Payment Term

ADCB Personal Loan

 
  • Minimum Salary NA
  • Flat Rate 3.45%
  • Credit Card
  • Free Debit Card
  • No Salary Transfer Required
  • Phone Banking

Mashreq Bank Personal Loans For Expatriate

 
  • Minimum Salary AED 7,000
  • Flat Rate 3.43%
  • Free Bank Account
  • Free Cheque Book
  • Free Debit Card
  • Insurance

Emirates NBD Loans For Expatriates

 
  • Minimum Salary AED 5,000
  • Flat Rate 3.03%
  • Insurance
  • No Salary Transfer Required
  • Phone Banking
See More Personal Loan Plans>>>

What is Personal Loan?

Personal loan is an unsecured loan, which means there is no collateral or guarantor required to avail it. personal loan in uaePersonal loan in UAE is procured by an individual to meet their various personal financial needs such as weddings, higher education, international trip, starting a new business, and even for debt consolidation.

The maximum personal finance loan amount can be equal to 20 times the monthly salary, which can be availed with a repayment period of 48 months. The personal loan interest rate in UAE and the personal loan amount is decided based on factors such as the source of income, credit history, age, employment status of the applicant, etc.

Personal Loan Interest Rate in UAE

Personal loan interest rate in UAE is an additional charge that is levied upon the principal loan amount. They are of two types of interest rates applicable to personal loan offers in UAE:

Flat Interest

Flat interest is charged on the total loan amount, which remains constant throughout the loan tenor. Lowest interest rate for a personal loan in Dubai as well as the rest of UAE can be 2.63 % and can go up to 22.22 % may range from 2.63% - 22.22%.

Reducing Interest

As opposed to the flat interest rate, this rate of interest reduces every time the loan borrower pays the instalment. Personal loan reducing interest rate in UAE is charged only on the outstanding principal amount of the loan, which can fall in the range of range between 5.24% - 39.99%. You always need to compare personal loans online to get the lowest interest rate for personal loan interest rate in UAE.

Personal Loan Calculator UAE

Personal Loan EMI Calculator
Loan Amount
AED

(From AED 10,000 to AED 10,000,000)

Interest Rate
%

Reducing Rate (1% - 50%)

Loan Tenure

(Minimum 1 and Maximum 240 months)

Total Interest Amount

AED 0

Monthly Instalment

AED 0

Total Payable (Principal+Interest)

AED 0

How to Calculate Personal Loan Interest?

Borrowers can use an interest calculator to compute the interest amount they will be paying. Lets look at the steps to calculate interest rate enabling personal loan comparison:

Use the formula- (interest rate/ number of payments) * principal amount = interest

  • Step 1: Divide the interest rate with the number of payments required to be made in a year
  • Step 2: Multiply it with the loan balance which for the first installment will be the principal amount of the loan
  • Step 3: Now calculate the new  balance. To do this subtract the interest calculated from the amount repaid. Subtract this amount from the principal to arrive at the new balance of the personal loan

Best Personal Loans in UAE

Here is the list of the top Personal Loans in the UAE for 2023

Provider Name

Flat Rate

Reducing Rate

Minimum Salary (in AED)

Salary Transfer

Deem Finance Personal Loan

NA

15.99% to 34.99%

5,000

NA

HSBC Personal Loan

NA

From 6.99%

10,000

Required

ADCB Personal Loan

3.45%

6.25%

NA

NA

Emirates NBD Personal Loan for Expatriates

3.03%

5.69%

5,000

NA

FAB Personal Loan

2.64 %

3.99%

7,000

Required

RAKBANK Personal Loan

NA

5.99% to 19.99%

5,000

Required

Emirates Islamic Bank Personal Loan for UAE Nationals

2.89%

5.28%

10,000

Required

Emirates Islamic Bank Personal Loan for Expats

2.95%

5.39%

10,000

Required

Mashreq Bank Personal Loan for Expatriates

3.43%

6.49%

10,000

Required

Mashreq Bank Personal Loan for UAE Nationals

3.43%

5.99%

7,000

Required

Mashreq Bank Personal Loan for New to UAE/New to Employer

3.43%

5.99%

10,000

NA

ADIB Personal Loan

7.25% to 20% (Fixed Profit Rate)

NA

8,000

Required

CBD Digi Personal Loan

NA

15.99% to 18.99%

10,000

NA

Dubai Islamic Bank Personal Finance

NA

5.99% to 21.99%

3,000

Required

See Plans

*Disclaimer: Interest Rates are subject to change at any time. 

Check and compare personal loan providers in UAE including their requirements and benefits offered to make the right decision based on your personal loan requirements and apply for the best personal loans online at the lowest interest rate in just a few steps.

Different Types of Personal Loans in UAE

1. Personal Loan in UAE for Expats
2. Personal Loan for UAE without Company Listing
3. Personal Loan in UAE without Salary Transfer
4. Personal Loan in UAE with Salary Transfer
5. Personal Loan for UAE Nationals
6. Personal Loan in UAE for Self-employed Professionals

Top Banks for Personal Loan in UAE with Low-interest rate and different loan Offers

1. Deem Finance Personal Loan

The personal loan offered by Deem Finance has attractive interest rates and can be availed for a flexible tenure of up to 48 months. You can avail of this loan if your monthly salary is at least AED 5,000 and you fulfil the other eligibility criteria. 

The following are some features and benefits of Deem Finance Personal Finance -

Minimum Salary - AED 5,000

Flat Rate - NA

Reducing Rate - 15.99% to 34.99% per annum

Loan Repayment Tenure - 48 months

Deem Credit Life Plus - An included program that provides the customer benefits in event of death or personal total disability 

No Salary Transfer Required

Simple and hassle-free process and documentation 

Reasonable equated monthly instalments

Minimum paperwork

check benefits and apply

2. HSBC Personal Loan

The HSBC personal loan has a flexible repayment tenure and requires the applicant to have a minimum salary of AED 10,000 per month. Keep in mind that if you wish to apply for this loan, you must have a current account with the bank where you can credit your salary. 

Discussed below are some of the key features and benefits of HSBC personal loan -

Maximum Loan Amount - Up to AED 500,000

Flexible loan repayment term - from 6 to 48 months

Reducing Rate - starting from 6.99% per annum

Minimum Salary Required - AED 10,000

Salary Transfer – Required

Quick loan approval upon online application (within 10 minutes)

Top-up personal loan option for changing financial requirements

Insurance – Included

Get an interest rate as per your profile

Minimum documentation required

check benefits and apply

3. ADCB Personal Loan

There are two variants of personal loan in UAE 5000 salary offered by ADCB: Personal Loan for UAE Nationals and Personal Loan for Expats. 

Minimum Salary for a personal loan: AED 5,000

Loan Tenure: Up to 4 years

Reducing Rate: 8. 86 %

Flat Rate: 4. 75 %

Early Settlement Fee: 1.05% (maximum AED 10,500)

Processing Fee: 1.05% (minimum AED 525)

Free ADCB Credit Card

3x salary overdraft

Up to 300 TouchPoints rewards

Credit life insurance

check benefits and apply

4. Emirates NBD Personal Loan

Emirates NBD offers loans for both UAE nationals and expatriates, with the conditions and the loan amounts differing as per your nationality and other factors. Listed below are the major features and benefits of these personal loans -

Emirates NBD Personal Loan for Expatriates

Loan Amount - up to AED 2 Million

Minimum Salary Required - AED 5,000

Flat Rate - 3.03% per annum

Reducing Rate - 5.69% per annum

Option for loan deferment

Credit Life Insurance 

7-day loan return option

No collateral or guarantor required

Complimentary zero-balance account

Phone banking option available

No salary transfer required

Flexible repayment tenure

 

Emirates NBD Personal Loan for UAE Nationals 

Loan Amount - up to AED 4 Million

Minimum Salary Required - AED 5,000

Flat Rate - 2.55% per annum

Reducing Rate - 4.79% per annum

Option for loan deferment

Credit Life Insurance 

7-day loan return option

No collateral or guarantor needed

Complimentary zero-balance account

Phone banking option available

No salary transfer required

Flexible repayment tenure

Facility to transfer other bank loans - amount from AED 25,000 to AED 2 million

check benefits and apply

5. FAB Personal Loan

The personal loan by the First Abu Dhabi Bank is offered to the borrowers in high loan amounts of up to  AED 5 million for UAE nationals and up to AED 2 million for NRI personal loans with a repayment tenure of up to 48 months. 

Minimum Salary: AED 7,000

Loan Tenure: Up to 4 years

Reducing Rate: 3.99 %

Flat Rate: 2.64 %

Early Settlement Fee: 1.05% (maximum AED 10,500)

Processing Fee: 1.05% (minimum AED 525, maximum AED 2,625)

Comprehensive cover for personal life insurance

Fast track approvals

Variable interest loan rates in UAE as low as 3. 99 %

 

check benefits and apply

6. RAKBANK Personal Loan

RAKBANK offers the borrowers a personal loan with high amounts, and flexible repayment tenures of up to 48 months, all at attractive interest rates. 

Minimum Salary: AED 5,000

Loan Tenure: Up to 4 years

Reducing Rate: 5.99%

Flat Rate: 3.99%

Early Settlement Fee: 1% or AED 10,000 (whichever is lower)

Arrangement Fee: 1% (minimum AED 500, maximum AED 2,500

Free RAKBANK debit card

Free no annual fee credit card

Free personalized checkbook

Top up loan

Personal loan 20x of salary

 

check benefits and apply

7. Emirates Islamic Personal Loan

Emirates Islamic Bank offers a personal loan that follows the Shariah principle of Murabaha. The bank offers loans to both UAE nationals and expatriates. With respect to the income, the minimum salary required to apply for this personal loan is AED 10,000. 

Check out the following table to know more about the salient features of loans for expatriates and UAE nationals –

Emirates Islamic Personal Loan for UAE Nationals

Finance amount of up to AED 4 million

Flat Profit Rate - 2.89%

Reducing Profit Rate - 5.28%

Minimum Salary Required - AED 10,000

Holiday Period - up to 120 days

Flexible Repayment Tenure - up to 4 years for standard debt settlement or 5 years for special debt settlement

Quick loan approval

No over limit fee or additional charge

Nominal processing fee

Affordable than credit cards

Profit rate can vary as per the applicant’s salary

Suitable for debt consolidation

Free Takaful Coverage

check benefits and apply

Emirates Islamic Personal Loan for Expatriates

Maximum Finance Amount - up to AED 2 million

Flat Profit Rate - 2.95%

Reducing Profit Rate - 5.39%

Minimum Salary Required - AED 10,000

Salary Transfer Required

Flexible Repayment Tenure - up to 4 years

Holiday period - up to 90 days

Free Takaful coverage

Quick loan approval

More affordable than credit cards

Suitable for debt consolidation

No over limit fee or additional charge

Profit rate can differ based on the applicant’s salary

Option to repay credit card debt using this loan available

Nominal processing fee

check benefits and apply

8. Mashreq Bank Personal Loan

Mashreq Bank offers an array of personal loan options that can fulfil the financial requirements of different kinds. What’s notable about this loan is that you can opt to secure a Mashreq Bank personal loan that is about 20 times your salary. The bank offers loans to UAE nationals as well as expatriates. 

Here are the major features and benefits of Mashreq Bank personal loans -

Mashreq Personal Loan for Expatriates

Maximum Loan Amount - up to AED 1 million

Flat Rate - 3.43%

Reducing Rate - 6.49%

Early Settlement Fee - 1% of the finance amount 

Arrangement Free - 1% of the finance amount

Loan Repayment Tenure - 4 years

Permit to miss up to 2 non-consecutive instalments per  year

Free bank account and debit card

New employees can also apply for this loan

Minimum salary required - AED 10,000

 

check benefits and apply

Mashreq Personal Loan for UAE Nationals

Maximum Finance Amount - up to AED 3 million or 20 times the salary

Flat Rate - 3.43%

Reducing Rate - 5.99%

Minimum Salary Required -AED 7,000

Flexible Repayment Tenure - up to 4 years (for employees of the Ministry of Defence, the maximum loan repayment tenure is 5 years)

Exclusive offers along with extra benefits

Compliment bank account 

Free chequebook

Free debit card

Islamic finance option also available

Salary transfer required

Insurance - included 

Phone banking option also available

Top-up facility for existing loan customers

Quick loan application process

check benefits and apply

Mashreq Personal Loan for New to UAE

Maximum Finance Amount - up to AED 150,000

Flat Rate - 3.43%

Reducing Rate - 5.99%

Minimum Salary Required -AED 10,000

Flexible Repayment Tenure - up to 4 years

Exclusive offers along with extra benefits

Compliment bank account 

Free chequebook

Free debit card

Islamic finance option also available

Salary transfer required

Insurance - included 

Phone banking option also available

check benefits and apply

9. ADIB Personal Loan

With limits of personal loan Dubai and other parts of the UAE going up to AED 1 million for expats and AED 3 million for UAE nationals, ADIB provides personal finance solutions at attractive interest rates for flexible tenures of up to 4 years. 

Minimum Salary: AED 8,000

Loan Tenure: Up to 4 years

Reducing Rate: 8.74% (expats) 7.75% (UAE nationals)

Flat Rate: 4.82% (expats) 4.27% (UAE nationals)

Early Settlement Fee: Minimum of 1% or AED 10,000

Processing Fee: No Processing Fee

Grace period for first installment for up to 90 days

2 free installment postponements annually

Takaful protection at nominal rates of 1.25 % of personal finance amount

No processing fee for a personal loan in Abu Dhabi and other UAE Emirates

check benefits and apply

10. CBD Digi Personal Loan

Commercial Bank of Dubai (CBD) offers a completely digital loan that is easy to apply for. As an applicant, you can easily apply for this loan using the CBD mobile banking application, with the process for the same being quick and straightforward. 

Maximum Loan Amount - up to AED 150,000

Minimum Salary Required - AED 10,000

Flat Rate - NA

Reducing Rate - 15.99% to 18.99%

Loan amount gets credited easily

Paperless loan application processing – only the Emirates ID is required for the same 

No salary transfer required

100% digital application process

Maximum loan tenure of up to 4 years 

check benefits and apply

11. Dubai Islamic Bank Personal Loan

Dubai Islamic Bank offers personal finance solutions to the borrowers at attractive interest rates with high financing amounts of up to AED 4,000,000 for UAE Nationals and AED 2,000,000 for Expatriates. 

Minimum Salary: AED 3,000

Loan Tenure: Up to 4 years

Reducing Rate: 11. 00%

Flat Rate: 6. 00%

Early Settlement Fee: 1% (maximum AED 10,000)

Processing Fee: AED 1,050 – AED 2,620

Long repayment period

Sharia-compliant financing

Low salary personal loan

Fixed arrangement fees charges

check benefits and apply

Personal Loan in Abu Dhabi

Abu Dhabi is one of UAE’s largest financial hubs providing both individuals as well as businesses with the most relevant financial solutions. The ADCB (Abu Dhabi Commercial Bank) and the FAB Bank (First Abu Dhabi Bank) are champions in the arena of personal finance, offering personal loan in Abu Dhabi starting at 3. 99 % for a loan amount extending up to 5 million for the UAE Nationals and a maximum of 2 million for Expats in the country, offering low interest personal loan UAE.

What is the Personal Loan Tenor?

Personal loan generally comes with a shorter tenor for repayment; minimum repayment period 6 months and a maximum of 48 months in most cases. Based on the profile of the individual loan applicant as well as the lender(personal loan provider)of the best personal loan in Dubai and other parts of the UAE,  the Annual Percentage  Rate or APR of personal finance can vary from 8% to 34% in the UAE.

Personal Loan Processing Fee: 0.95% of the loan amount.

Documentation Charges for personal loan approval: Nil

Apply best personal loan to get rid of financial problems

Different Types of Personal Loans in UAE Offered by Policybazaar UAE

This multi-purpose loan is offered for both expats and UAE Nationals. Listed below are the different types of personal loans in the UAE.

Personal Loan in UAE for Expats

The people who are not residents of the UAE but live in the country due to jobs or business are called expatriates who can enjoy the lowest interest rate personal loan available in the country.

Top 5 Plans for Personal Loans for Expats in UAE

Personal Loan in UAE for Expats Loan Amount Flat Interest Rate Reducing Interest Rate
FAB Personal Loan for Expats Up to AED 2 million 2.64% 3.99%
ADIB Personal Loan for Expats AED 1 million 2.89% 5.40%
ADCB Personal Loan for Expatriates Up to 2 times of applicant's salary 3.45% 6.25%
HSBC Personal Loan for Expats AED 750,000 3.58% 6.49%
Mashreq Bank Personal Loan for Expatriates AED 1 million 3.43% 6.49%
See More Quotes >>>

Personal Loan for UAE without Company Listing

Personal loans can now be obtained for professionals working in non-listed companies or start-ups with a lineup of products specially designed for non-listed companies that have recently entered the market. 

Further, the personal loan can be classified on the basis of salary transfer.

Top 5 Plans for Personal Loans in UAE without Company Listing - 

Personal Loan in UAE for non-listed Companies Loan Amount (AED) Rate of Interest Tenure
ADCB Personal Loan for UAE Nationals 20 times the salary Starting from 5% 48 months
Emirates NBD Personal Cash Loan AED 500,000 8.99% (reducing) 48 months
Emirates NBD Self-Employed Personal Loan for Professionals AED 300,000 18.99% 48 months
FAB Islamic Personal Finance AED 5,000,000 4.99% (reducing) -
Mashreq Bank Employer/New to UAE Loan AED 150,000 5.99% (reducing) 48 months
Mashreq Bank Personal Loan for Expats AED 1,000,000 6.49% (reducing) 48 months
See More Quotes >>>

Personal Loan in UAE without Salary Transfer

There are some providers who do not make the applicant transfer their salary with them to obtain a loan, making the personal loan requirements flexible.

Top 5 Banks that are offering Personal Loans in UAE without Salary Transfer

Provider Reducing Interest Rate Flat Interest Rate Minimum Salary Required
Citibank 14-27% 7.70-15.2% AED 8,000
Dubai Islamic Bank 8.99% 4.90% AED 3,000
Deem Finance 15.99-34.99% NA AED 5,000
Finance House 20% N/A AED 5,000
Samba 9.00% 4.83% AED 10,000
Emirates NBD 14.99% 7.90% AED 10,000
See More Quotes >>>

Personal Loan in UAE with Salary Transfer

Most of the loan providers in the UAE expect the applicants to have a salary account with the bank to get an instant personal loan.

Top 5 Banks that are offering Personal Loans in UAE with Salary Transfer

Personal Loan Providers Flat Interest Rate Reducing Interest Rate Minimum Salary Required
Citibank Personal Loan 3.73% 6.99% AED 8000
Emirates NBD Personal Loan 2.90% 5.49% AED 5000
RAKBANK Personal Loan 2.75% 4.99% AED 5000
ADCB Simply Life Personal Loan NA 6.99% AED 5000
ADCB Personal Loan 3.45% 6.25% AED 5000
ADIB Personal Loan for Expats 2.99% NA AED 8000
See More Quotes >>> 

Personal Loan for UAE Nationals

For UAE Nationals, personal loan requirements are more favorable in comparison to those offered on the personal loan in UAE for expats.

Top 5 Personal Loans Plans for UAE Nationals - 

Personal Loan for UAE Nationals Loan Amount Flat Interest Rate Reducing Interest Rate
FAB Personal Loan for UAE Nationals AED 5 million 0.0264 3.99%
Citibank Personal Loan for UAE Nationals AED 175,000 0.08 14.00%
HSBC Personal Loan for UAE Nationals AED 1million 0.0749 -
ADIB Personal Loan for UAE Nationals AED 2 million - 6.75-20%
Emirates Islamic Personal Loan for UAE Nationals AED 4 million 0.0225 4.20%
See More Quotes >>>

Personal Loan in UAE for Self-employed Professionals

Self-employed professionals are those who have their own business and they may also apply for a personal loan with certain financial institutions in the UAE and enjoy the best personal loan rates.

Eligibility Criteria for Personal Loans in UAE

While each bank in the UAE listed above has its distinct eligibility criteria for a personal loan, the following are the standard criteria that you must fulfil to apply for a personal loan in the UAE -

  • UAE residents and nationals
  • Age Group - 21 years to 65 years
  • Minimum monthly salary should range between AED 3,000 to AED 10,000 (differs from bank to bank)
  • You must have a current account with the said UAE bank in most cases
  • Employment Status - Salaried or Self-employed
  • Minimum Credit Score of at least 580 (exact requirement differs from bank to bank)

Eligibility Criteria

UAE Nationals

Expatriates

Minimum Salary 

AED 5,000

AED 5,000

Age Group 

21 years to 65 years

21 years to 60 years

Employment Status

Salaried or Self-Employed

Salary Transfer

Depends on the bank’s policy

Check loan eligibility and apply personal loan

Documents Required for Personal Loans in UAE

Just like the eligibility criteria, the documents required to apply for a personal loan in the UAE would depend on the bank’s requirements. Some of the generally required documents for personal loans in UAE are –

  • A copy of Emirates ID, passport, or residence visa
  • Employment or income proof - salary slips, salary certificate, or salary transfer letter
  • Bank statements of 3 to 6 months
  • Trade licence (for self-employed persons)
  • Power of attorney (for self-employed persons)

UAE Nationals 

Expatriates

Emirates ID 

An Emirates ID

Salary certificate (for salaried individuals)

A Copy of Valid Passport and Residence Visa

Salary Transfer Letter (for salaried individuals)

Salary Certificate (for salaried individuals)

Bank Statements of last 3 to 6 months

Salary Transfer Letter (for salaried individuals)

Trade licence (for self-employed individuals)

Bank Statements of last 3 to 6 months

Power of Attorney (for self-employed individuals)

Trade Licence (for self-employed individuals)

 

Power of Attorney (for self-employed individuals)

How to Apply for a Personal Loan in the UAE

how to apply for personal loan in uaeApplying for the best personal loan in UAE has never been simpler than it is today. Below is a step by step guide on how to get personal loan in UAE:

Through Bank Branches

Those who want to apply directly through the bank: 

  • Simply visit the branch of the preferred bank
  • Fill the loan application form
  • Take help from the customer care representative or a bank representative to know about personal loan interest rate in UAE and more

Through the Online Portal

Applying personal loan online is convenient and quick. Online platforms are host to generous personal loan rates in UAE and can be used to quickly make personal loan comparison  UAE which helps in finding the lowest interest rate for personal loan in UAE. While comparing,   the use of personal loan EMI calculator is recommended to calculate the EMI amount,  making online personal loan apply procedure even easier.

Processing of Personal Loan in the UAE

A personal loan is among the best solutions when in need of quick cash for any financial emergency. Here’s how this loan gets processed in the UAE to offer the best personal loan interest rates in UAE.

1) Eligibility

To process the loan application for personal loan in UAE, one has to check the personal loan eligibility criteria of the bank.

2)  Loan Calculator 

The next step is to know the loan EMI. Using the loan calculator, the applicant can calculate their EMI and understand how to calculate personal loan interest.

3)  Online Application 

After calculating an estimate of the monthly installments, the applicant can online personal loan apply to make things easier.

4)  Submitting the Documents 

The applicant has to submit the required documents along with the form to get a personal loan in UAE.

5)  Verification 

The loan provider will then verify the loan application as well as the documents submitted.

6)  Approval 

To answer how to get personal loan in Dubai? The application has to be successfully verified after which the loan request is approved and the loan sanctioned.

7)  Disbursal

Once the applicant receives the approval, the amount is transferred to their bank account.

Features & Benefits of Personal Loan in UAE

Over the last decade, UAE has been witnessing an enormous surge in financial lending. The emergence of various banks and lenders has led to the introduction of competitive personal loan interest rate in UAE. The features and benefits of these loans are mentioned below:

Features and Benefits

Details

Unsecured Loans

  • No collateral is required to obtain these loans.

Salary Transfer vs. Non-Salary Transfer

  • By making salary transfers, borrowers can obtain high amounts at  low interests.

Rate of Interest

  • There are two types of UAE bank loan interest rates: reducing and flat

Top-up Loans

  • With regular payments of the pre-existing loans, the borrowers can enjoy top-up loans.

Loan Cancellation

  • The best personal loan in Dubai and other UAE Emirates, allows cancellation of the availed loan in the given grace period.

Installment Deferment

  • The borrower can postpone their monthly installments of personal finance in Dubai or other Emirates for a fixed period.

Debit and Credit Cards

  • Some of the personal loans in the market offer complimentary debit and credit cards.

Insurance or Takaful

  • Insurance or Takaful benefit covers the outstanding loan dues in an unforeseen event leading to loss of income.

Cashback and Statement Credit

  • Some personal loan offers in the UAE reward the borrowers with incentives like cash back or a statement credit.

Apply personal loan with maximum benefits

Quick Tips to Avail the Right Personal Loan in the UAE

Getting a personal loan in Abu Dhabi or any other Emirate could be a tedious task. Here are some tips to obtain this loan in the Emirates:

1)  Shop Around 

The first step to avail a suitable loan with the lowest interest rate for personal loan in UAE is shopping around at different lenders to loan compare UAE before deciding on the one that best meets your requirements.

2)  Checking and Reviewing the Terms & Conditions 

The terms & conditions of the loan are as essential as the personal loan rates Dubai and other Emirates in UAE may vary from one provider to another.

3)  Types of Rate of Interest 

There are two types of rate of interests applied by various loan lenders, reducing rate and flat rate of interest. Considering this, the maximum ROI cap up to which a loan can be availed is:

Reducing rate: 24% - 39.99%

Flat Rate: 63% - 22.22% 

4)  Stay Aware of Added Products 

Some of the lenders automatically register the borrower for added products such as payment protection or credit insurance right after the loan disbursal. Check the insurance terms carefully to get the best personal loan in UAE.

Why is Salary an important factor while applying for a personal loan in UAE?

Personal loan fulfills multiple needs and are easy to get, making them suitable for most people, thus explaining the growing demand for personal loans. A borrower’s income is crucial in determining the rate of interest applicable on their loan as generally, individuals with a  higher salary are more likely to repay their loan fully than someone with a lower salary. Another reason salary plays an important role is because most bank have a minimum salary requirement condition. For instance, most banks in UAE offer personal loan in UAE 5,000 salary to qualify to avail of a personal loan. This way banks ensure that the borrower has a fixed minimum income that allows them to repay the loan on time. 

Personal Loan Dos and Don’ts

By considering the following dos and don'ts one can avoid rejection of personal loan application:

Things to Consider

Things to Avoid

Maintain a stable employment history

Don’t furnish an unstable employment history

Make the payments on time without fail

Don’t degrade credit score as it marks a negative impact

Maintain a good credit score as personal loan without credit check in UAE is impossible

Don’t fill the application form in a rush. A small mistake can lead to loan rejection

Check for a steady source of income

Don’t miss an installment

Clear the existing outstanding loans before applying for a new one

Don’t apply for a new loan without clearing the outstanding loan amount

Try maintaining a lower debt-to-income ratio

Don’t ignore eligibility criteria such as age, minimum salary transfer etc.

Compare and apply best personal loan

Steps to Compare Personal Loan in UAE:

Thinking of getting a personal loan? There are so many options available in the market that sometimes it might seem too confusing. Here are some steps to help applicants with personal loan compare UAE:

  • Step 1: Visit the bank’s official website or Policybazaar.ae to check the different features of personal loans offered by each bank
  • Step 2: Check the interest rates and profit rates of each loan to pick one that fits comfortably in your budget
  • Step 3: Check the minimum salary requirement of the bank to get bank loan in UAE
  • Step 4: Use the bank’s EMI calculator or a generic one to figure out if the installments fit your pocket
  • Step 5: Figure out whether the applicants need to transfer their salary to avail the personal loan in UAE
  • Step 6: Check the ease of repayment and the grace period offered
  • Step 7: Check for features like deferred payment, credit shield, early settlement etc before making the choice
  • Step 8: After going through each of these steps and having decided on which personal loan is best for you, figure out how to get personal loan in UAE

How to Apply for a Personal Loan at Policybazaar?

Loan seeker in UAE can easily apply for personal loan through Policybazaar.ae  by  following the  below  steps:

  • Just visit the official website of Policybazaar.ae Go to the personal loan section
  • Fill in the required application form by providing certain information such as name, email ID, contact number and click on the proceed button
  • After submitting the information, this will lead to the loan detail page, with the banks offering personal loans with their interest rate, loan features, and more
  • The applicant can select the one as per their requirement
  • Once the request is sent, the personal loan expert from Policybazaar.ae will get in touch with them for further assistance.
  • This way Policybazaar.ae makes personal loan buying process an easy victory, getting customers the best personal loan rates UAE.
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Faq- About Personal Loans

How to get a personal loan in the UAE?

To apply for a personal loan in the UAE, you should meet the eligibility criteria laid down by the bank. When applying for a personal loan, make sure you affix all the required documents. You can apply for the loan either by visiting the bank website or comparing and selecting a personal loan as per your requirements on Policybazaar UAE.

How is the Personal Loan EMI amount calculated?

The EMI for the personal loan is calculated using the Personal Loan EMI calculator. You will need the principal amount, the rate of interest and the repayment tenure to calculate your EMI. In answer to the question- how to calculate personal loan interest, the EMI calculator uses a simple formula-          

P * R * [(1+R) ^ N] / [(1+R) ^ N-1]

Here, 'P' is the principal amount. 'R' is the rate of interest and 'N' is the repayment tenure.  Through personal loan comparison UAE, you can compare the loan EMIs as well.

How can I bargain for a better rate of interest for a personal loan in UAE?

To bargain for the offered interest rate for this loan in the Emirates, you should make sure that you have a high credit score for personal loan. As it is, banks offer a low interest rate to the applicants with a good credit score as they are considered as those with low-risk appetite. However, if you are not satisfied with it, you will need to have excellent negotiation skills and a high credit score.

Which is better, personal loan or a credit card loan in UAE?

This would depend on the situation and the finance amount. A credit card is suitable when you need a small amount of loan instantly. However, credit card loan includes high-interest rates. Personal loan is the best option when you need a larger sum of money within a few days. For example, to renovate your home or to pay the school or medical fees.

How to deal with credit card debt using personal loan in Dubai?

You can pay credit card debt through a personal loan.  The loan can help to pay the credit card bill by consolidating the debt. It has lower interest rates as compared to credit cards. You can repay the loan amount in easy monthly installments over the next few years even if the applicant has a personal loan minimum salary AED 2,000.

How much personal loan can you get in the UAE?

The personal loan amount cannot be more than 20 times your salary, and the repayment tenure cannot be more than 48 months (60 months for the employees of the ministry of defence).

Can a student apply for a personal loan in UAE?

No, a student cannot apply for this loan unless specifically implied by the bank or he/she has a guarantor. The eligibility requirements of the loan include the minimum monthly salary and the age limit between 21-65 years. Some also require salary transfer and proof of employment with a company listed with the lender. However, there are some lenders who provide personal loan in uae without company listing as well. You can always apply for student/ education loan as a guarantor.

Should I take a personal loan to fund my startup in UAE?

That would depend on your personal preference. You should be aware that you are required to pay  the EMI for the loan from the month followed by the disbursal. You can take a loan, when you are sure you’ve sufficient amount to pay the monthly EMIs at least.

Can we use a personal loan for marriage purposes in Dubai?

Yes, you can use a loan to fund wedding ceremonies. These loans are given to anyone who needs it as long as they meet the eligibility criteria.

Can I take a personal loan from two different banks at the same time?

Yes, you can take loan from two different banks at the same time. However, there are some requirements to be met.

  • You should have a very high credit score
  • Your debt to burden ratio should be more than 50%
  • You should also meet the eligibility requirements of the concerned banks
  • You must earn a minimum salary for personal loan in UAE
What if I don’t pay the EMI of a personal loan in Dubai?

If you are unable to pay the loan EMI, get in touch with your bank and try to find a solution. If you try to avoid the situation, it will become worse for you. The banks will start with warnings followed by sending debt collectors. If there is still no response from your end, they will mark you as a defaulter or even drag you to the court for the unpaid personal loan in UAE. Therefore, it would be better for you to contact the bank and explain your situation. Sometimes, they may reduce your EMIs.

Is there any way to calculate my obligations before applying for a personal loan?

It is extremely wise to calculate your obligations before applying for a personal loan in Dubai or other emirates. This can be done through a personal loan calculator, which is usually available  on the loan issuer’s site itself. If not, the applicant can instead enter their details into any generic loan calculator in the UAE for a reliable figure before they apply personal loan in UAE.

Is it good to pay off credit card debt with this loan?

Yes, it is a good idea to pay off your credit card debt through this loan. Not only will this help you get rid of the high credit card interest rates, but you can also consolidate the debts and pay it off in one go with the affordable Dubai personal loan interest rate.

Which bank gives a loan easily in the UAE?

Most banks in the UAE have a quick application process and loan approval process. However, when selecting the bank to secure a personal loan, make sure you go through their policies, the interest or profit rate offered, and more. To easily get a loan, make sure you have a decent credit score.

Is there a prepayment penalty on personal loan in UAE?

It's not a penalty, rather a fee for the early settlement of the loan. It can be any one of the two- approximately AED 10,000 or 1-3% of the outstanding amount, whichever is less for  a loan in UAE.

Do Shariah-Compliant banking organizations offer personal loan in UAE as well?

Yes, the residents can avail of the best personal loan in UAE for Emiratis as well as expats through Shariah-compliant banking organizations too.  These best Islamic personal loan in UAE are known as personal finance and charge profit rate instead of interest rate.

Is there any advantage of opting for the life insurance scheme that comes with the personal loan?

Nearly all personal loans offer a life insurance scheme to applicants. This insurance policy indemnifies the borrower from making payments in stipulated conditions such as fatal illness, permanent disability or death. Some personal loan in Dubai even offer life insurance policies that pay back the full borrowed amount to the policyholder’s family members, on death.

Can you apply for a personal loan in Dubai even if your first attempt gets rejected?

You can apply for a personal loan even if your first attempt resulted in a rejection. For this, you must ensure the following –

  • Apply for a lower amount
  • Submit the right documents
  • Improve your credit score
  • Fill in accurate details in the application form
Should you take insurance on your personal finance in UAE?

It is not mandatory to avail of personal loan insurance in the UAE. However, such insurance covers the policyholder’s loan in situations like loss of job, or sudden disability. This insurance protects the monthly loan repayments and the insured from being a defaulter.

What is an Early Settlement Fee?

An early settlement fee is a charge that you would have to pay if you settle your personal loan before the due date. This fee is paid along with the remaining principal amount and is usually 1% of the principal remaining. 

 

Can you transfer your personal loan in the UAE to another bank that is providing a lower interest rate?

You can avail of the buyout loan facility from the bank with lower interest and settle your existing personal loan in the current bank. With this, you can settle all your previous debts and repay your personal loan at a lower interest rate.

What is the lowest personal loan interest rate in the UAE?

The lowest flat interest rate in the UAE can be 2.63% whereas, the lowest reducing interest rate may go as low as 5.24%.

What is the maximum DBR to be eligible for a personal loan in the UAE?

As per the Central Bank of the UAE, your debt burden ratio cannot be more than 50% of your monthly income. Simply put, the sum of all your instalments cannot be more than 50% of your monthly salary.

Can you get a personal loan in Dubai without a salary transfer?

You can easily get a personal loan in Dubai without a salary transfer, as there are several banks and financial institutions in the UAE that offer such loans at competitive interest rates.

Can you get a personal loan in the UAE without a salary certificate?

People who are self-employed, working as a freelancer, or on a contractual basis can get a personal loan in the UAE. However, they would be required to provide other proof of income like bank statements.

How do you calculate your EMI for a personal loan?

You can easily estimate your EMI for a personal loan using an EMI calculator. It is an automated online tool that will provide you with the precise amount you need to pay as your monthly instalment. Simply enter details related to the loan amount, interest rate, and the loan tenure to know the EMI amount. 

You can visit the personal loans section on policybazaar.ae to find an online personal loan calculator. 

Can you get a personal loan in Dubai on a bad credit score?

Ideally, you should have a credit score above 580 to secure a personal loan in the UAE. However, a few banks may offer personal loans even to individuals with low credit scores. Note that there is not much scope for negotiating the interest rate for the applicant in this case.

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