If you live in Dubai or anywhere across the world, there’s no doubt you sometimes face financial challenges. Some of these economic issues can be gross and very urgent.
When you face any financial emergencies, you need a bank that can come to your rescue and process a personal loan on demand, for instance. Dubai Islamic Bank does just that.
With features tailored to fit your needs, the Dubai Islamic Bank Personal Loan is the facility you want to get to sort out your financial woes.
This article provides a critical review of the Dubai Islamic Bank Personal Loan.
Who Can Apply For Dubai Bank Personal Loan?
This loan facility is generally accessible to any national of the UAE and expatriates working there. However, there are procedures and qualification criteria that the bank requires you to fulfill before you can be given the loan.
Dubai Islamic Bank Personal Loan Review
Interest Rates
The loan attracts an interest rate of between 11% and 21.99%, and the maximum loan amount you can get from the bank is AED 4,000,000. In addition, the maximum repayment period for this loan is 4 years.
Qualification Criteria
To qualify for a personal loan from Dubai Islamic Bank, you should meet the following requirements.
- The minimum salary you should be earning is AED 3000 to access the loan from the Dubai Islamic Bank. This is needed as confirmation that you can foot the monthly repayments required to clear the loan within the stipulated time.
- Salary transfer is mandatory for you to access the loan. A salary transfer helps the bank to get data on your earnings and gauge the maximum loan you can be awarded.
- The Dubai Islamic Bank gives private loans to both employed and self-employed people. As much as it is not for employed people only, the bank requires proof of a genuine source of income to approve your loan.
- The Dubai Islamic bank offers personal loans to UAE citizens and expats starting from 21 years of age. Also, the maximum age you can qualify for a personal loan is 65 years for expats and 60 years for UAE nationals.
Documents Required
In addition to the qualification criteria above, the Dubai Islamic Bank will require that you present certain documents to prove your eligibility. This avoids fraud and awarding loans to unintended people such as underage individuals.
- Passports or visas for expats – For expats to be recognized by the bank, they should provide a passport or a visa.
- Emirates ID – This applies to the citizens of UAE only
- AECB approval form – The Al Etihad Credit report is a manuscript that encompasses an individual’s identity data, credit card details, and one payment history.
- A Bank Statement – The bank requires a bank statement to provide data on your transactions in the bank, which will then determine the amount of loan that can be awarded.
- A Trade license – If you are a self-employed individual, a trade license will be required to guarantee the bank your source of income and your ability to settle the loan. The trade license also shows the bank the type of business you operate. Hence, it may give you an upper hand to ask for a higher loan amount.
- Salary certificate – This applies to employed individuals only. The bank may sometimes ask for a letter from the employer to guarantee that you will repay the loan according to the terms and conditions of the bank.
Features Of Dubai Islamic Bank Personal Loan
- The bank offers fair repayment tenure of up to 4 years. This is enough time to help you clear the loan without pressure.
- Rates are based on your salary. For instance, if you earn a higher salary, your interest rate will not be exact as an individual with a lower income.
- The bank approves a maximum loan amount of AED 2,000,000 for expatriates and 4,000,000 for UAE citizens.
- The bank levies a 1% fee on the outstanding finance amount for early loan repayment.
- The bank charges an arrangement fee of AED 1.05% of the finance amount.
Benefits Of The Dubai Islamic Bank Personal Loan
- Finance is available to consolidate existing loans.
- Long loan repayment period. The Dubai Islamic bank offers the best loan repayment tenure of 4 years which is more favorable than other banks. This enables the citizens and expatriates to repay the loans at ease.
- Additional finance is available after consolidating the loans.
- Higher loan amount. The expatriates receive a maximum loan amount of 2,000,000, while the citizens receive a maximum of 4,000,000.
- You get the best assistance during the loan application process. The bank offers managerial services to loan applicants, making applying for a personal loan easier.
- Fast loan processing. The Dubai Islamic Bank processes loan applications faster and more efficiently than other financial institutions.
- Sharia law is applied while issuing loans to ensure that the goods are under the scrutiny of the law and are thus legal and safe to other citizens in UAE.
Frequently Asked Questions
Can I postpone any installment payments?
The bank will allow you to skip a maximum of two installments annually. However, this only applies to individuals whose salary is transferred to the DIB bank account.
Is salary transfer mandatory?
No. there are, however, more benefits for salary transfer.
Are there charges for late payment?
Yes. The bank charges AED 210 for late payment.
Can I cancel an approved personal loan at DIB?
Yes. But you have to visit the branch and request for cancellation. The bank will charge you AED 100 for every cancellation.
Are all personal loans in Dubai sharia compliant?
No. several banks offer personal loans on conventional principles.
How can I get in touch with DIB customer care?
Visit the website of the bank and check the customer care page. You can also visit the customer desk at any branch.
Conclusion
The Dubai Islamic Bank is one of the best financial institutions offering personal loans in the UAE at fair interest rates to both expats and citizens. All you need to do is avail of the required documentation and follow the proper procedure, and you will be able to access the loan. To find out more about personal loans in Dubai, check out our guide to the best private banks in Dubai. You can also check out our guide on how to get the best personal loans in Dubai. Some personal loans also require company listing and some dont. Check out our guide on how to get a personal loan in the UAE to learn more.
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