# Personal loan help



## jafferrahim87 (Jul 25, 2012)

What is the current interest rate for personal loan in Dubai? I am urgently in need of cash; however, scared of the interest rates. Please help


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## Warold (May 30, 2011)

Typically they start at around 7% depending on you salary and position/company


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## streetspirit (May 12, 2011)

Got one with UNB at 6.5%. 

Agree with above though, think it depends on job and company.


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## deuceswild11 (Jul 20, 2012)

I'd also like to know a little more about personal loans- I am afraid I may need to take out a small loan to put a deposit/cheque on an apartment. Obviously I would EASILY pay it back with what would have been my rent check per month. 

How is the amount they lend you determined? 

Will they still lend to you if you are on probation? 

thanks!


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## saraswat (Apr 28, 2012)

There isn't really a credit-rating/credit-history system here, so they make judgments based on the following:

1. Job (wage level)
2. Place of work (company: large/medium/small)
3. Length of stay in the U.A.E (how long you've been here, or plan on being here)
4. Nationality (yes its a factor)
5. Reason (they don't really care what you use the money for, but giving a reason like rent-payment/deposit might sway a bank to grant you the loan.) 

If one of the banks doesn't give you a loan, don't get dis-heartened, try all of them, probably another one might(rate might not be that good).


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## thinklink (May 31, 2012)

jafferrahim87 said:


> What is the current interest rate for personal loan in Dubai? I am urgently in need of cash; however, scared of the interest rates. Please help


Hi, I have a friend who works in SCB. He might be able to help you regarding personal loan issues. Please PM me for details.

Thanks!


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## deuceswild11 (Jul 20, 2012)

Can you explain the repayment process? Is it monthly or repaid in one lump sum with a PD cheque? Cause that's a bit scary...


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## ibkiss (Feb 1, 2012)

Dh480,000 debt rocks marriage | GulfNews.com


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## saraswat (Apr 28, 2012)

deuceswild11 said:


> Can you explain the repayment process? Is it monthly or repaid in one lump sum with a PD cheque? Cause that's a bit scary...


It depends on the type of loan you are undertaking. Usually though it will end up being your normal monthly payment setup. The actual process of payment again depends:

1. Usually when approved for a loan by a bank, they will open an a/c for you (if u'r good enough to lend to, u'r definitely good enough to get an a/c with them), so you just deposit the money in that a/c, from where the monthly payment gets deducted (the best option)
2. You can also pay via check's/cash, but have to make sure to deposit it in time, the banks are looking for an excuse to charge fees, so even a day late will get you a fee (amount depends on the bank).
3. You can setup instructions in your primary bank a/c to transfer money monthly to the bank that has given you the loan. 

As far as collateral is concerned, you will have to give the approving bank a 'security' check, undated and for the amount of the total loan amount(principal+interest), which is then returned to you upon completion of the whole process. There have been lots of horror stories about this, but the thing people gloss over is that almost all the time the horror stories involve amounts of hundreds of thousands (ie huge sums).


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