The Benefits of Applying for a Personal Loan in UAE from ADIB

The Benefits of Applying for a Personal Loan in UAE from ADIBPolicybazaarAverage Rating / 5 ( reviews)
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Whether it is for debt consolidation or for financing your child’s further education or even to make a big purchase – a Personal Loan helps to borrow funds to achieve your financial goals.

When you opt for a personal loan, you get a fixed sum of money that is repayable as monthly installments over a fixed tenure. The repayment terms and the amount of the loan vary from one lender to another. After you have paid the entire loan amount, your loan ends and the account is shut. If you have to borrow more money, you will have to apply for another loan.

Personal loans are also referred to as “unsecured loans” as they do not require any collateral against securing the loan. However, this makes the interest charges of a personal loan higher than that of any other loans such as an auto loan or a home loan.

ADIB Bank Personal Loan

Abu Dhabi Islamic Bank, commonly known as ADIB, is an Islamic Banking organization that provides the consumer with Shariah-compliant financial products and services. An example of these financial instruments is the ADIB Personal Loan. This is an unsecured loan offered to the Nationals and Expats residing in the UAE.

Benefits of ADIB Personal Loan

The numerous features and benefits of ADIB personal loan offered to the borrower are:

Maximum Loan Amount

There are numerous factors that determine the maximum loan amount for an individual, such as the credit score held by the applicant, the earning potential of the applicant, and the other requirements for the ADIB loan. Generally, AED 3 million is the maximum loan amount that can be borrowed for UAE nationals while the Expats can borrow a maximum loan amount of AED 1 million.

No Processing Fee is Charged

ADIB as an Islamic Banking institution makes sure to be transparent with their schedule of charges and fees. This banking organization does not charge any processing fee to the applicant for availing an ADIB personal loan.

Grace Period is Offered

The UAE nationals and Expats applying for ADIB personal finance are provided a grace period of up to ninety days to settle their first installment. The borrow can clear the due for the first installment any time during these 3 months. This provides the applicant flexibility in time to properly plan his or her finances.

Postponements

The ADIB personal loan offers the borrower a relaxation in the midst of their personal loan tenure by offering two postponements of their installments in a year at no additional fee.

Takaful Insurance Cover

The ADIB takaful protection offers a financial shield against any unforeseen event that may occur in the future due to the unpredictability of life. The borrower can avail Takaful cover protection with the ADIB personal loan at competitive rates. This comes in handy to cover the outstanding loan amount in case of an unfortunate situation of accidental death or total disability.

Additional Perks

Abu Dhabi Islamic Bank offers the borrower the ADIB booking.com Signature Card for the first year at no additional cost. This credit card provides the holder with a wide range of benefits and perks against several spending categories.

Things to Know Before You Apply for a Personal Loan

Before applying for a personal loan, you must be clear about the reasons behind opting for one and evaluate any other financing options you may have. If the reason behind borrowing funds is something that does not cause a significant impact on your life or positively affects your finances, you should reconsider your decision.

If your reason for borrowing is a want and not a need, it is good to save up instead of borrowing funds for it on which you will have to pay interest. However, if you have come to the conclusion of choosing the borrowing path, you should be absolutely certain that you can afford the monthly installment payments without causing a huge burden on your pocket.

Once you have made sure of the above factors, along with the benefits of ADIB personal loan it is good to know if you are eligible to make use of those perks. The eligibility criteria for this loan are:

  1. Minimum Salary: The minimum salary of the applicant must be AED 8,000 per month.
  2. Age: The applicant if a UAE national must be a minimum of 21 years and a maximum of 65 years at the maturity. On the other hand, an Expat should be a minimum of 21 years and a maximum of 60 years at maturity.
  3. Length Service: For UAE nationals – confirmed or 3 months, for Expatriates – confirmed or 6 months.

If you are eligible for making use of the benefits of ADIB personal loan, here are the documents you will require to move forward with your application:

  1. Original along with a copy of a valid passport, and for Expatriates also a valid residence visa.
  2. Original along with a copy of a valid Emirates ID.
  3. A bank account statement for the last 3 months.

To Wrap it Up!

A personal loan is a helpful tool when you want to finance a big purchase or if you are looking to consolidate your debt. However, it is extremely important to understand the terms you are agreeing to when you decide to take up personal finance. Alongside this, you must have a proper idea on how you plan to repay the loan as per your agreement with your personal loan lender.

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