How To Get A Personal Loan In UAE With Simple Steps?

  • Publish date: Sunday، 23 January 2022 Last update: Wednesday، 11 May 2022
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Life can be costly, especially if you have kids, from having to get a car to go to work or kids schools fees as well as daily living expenses, life in UAE is not cheap at all, and costs of life in Dubai and elsewhere can be pretty high, a lot of people rely on taking loans, whether it was for paying back debt, paying for a car or house, home remodeling, buying appliances, wedding expenses, and even vacation costs, and moving charges, or health emergencies. At the same time, reasons vary, especially those new in UAE might feel lost on getting a personal loan in UAE; today, we will show you simple steps to do that.

Conditions for getting a personal loan in UAE

The following are the main conditions for getting a personal loan in UAE:

  • According to the central bank of the UAE, you can apply for a personal loan only when you have a regular income and end-of-service gratuity from a well-defined source.
  • Loans should not be more than 20 times the salary value or the total income, so for example: if you were looking for a personal loan in UAE 3000 salary monthly, 3000 X 20 is 60000 AED, and you cannot get more than that in a single loan. 
  • The repayment period should not go beyond 48 months.
  • Banks and finance companies might only take from the customer the number of post-dated cheques covering the installments of value that do not go beyond the 120% value of the loan or the debit balance.
  • There might be an interest rate on a loan. However, the bank or company must declare that to you before agreeing on the loan.
  • Applying for personal loans in the UAE is through registered banks and finance companies.
  • You have to be a legal UAE citizen or resident.
  • Your age should not be less than 21 or more than 65 years old to apply for a personal loan.
  • Your salary should be at least 3000 AED.
  • You should have an authorized bank account in UAE.

Steps to get a personal loan in UAE

If you meet all the conditions and terms to get a loan in UAE, follow those steps in order to get one:

  • Choose the authorised bank or finance company.
  • Pick out the monthly installment plan that best suits your needs.
  • Either apply online, or visit the bank and submit the required documents such as (Your emirati ID, Salary transfer letter, the passport and a resident visa for those who are not emirati, your bank account statement of the latest 3-6 months, trade license, and any extra documents required from the bank
  • Once the loan is approved, the money will be deposited in your account. 

Common Questions & Answers 

In this section we will answer the most common questions regarding personal loans in UAE:

How much maximum personal loan can i get?

You cannot receive more than 20x times your current salary in a single loan.

Which bank is best for personal loan in uae ?

There are many banks you can a personal loan from in UAE, such as:

  • Emirates NBD 
  • First AbuDhabi Bank (FAB)
  • Emirates NBD
  • ADCB
  • Emirates Islamic Bank 
  • Dubai Islamic Bank (DIB)
  • ADIB
  • RAKBank

And there are many more banks in UAE.

How to transfer home loan to another person?

It is possible however it differs from one bank to another.

Can I use a personal loan to buy a car?

Yes you can use a personal loan to buy a car, once you receive the money you are free to purchase what you need with it.