Personal loan is a type of loan taken usually when you moved to new country or employment. It is an ideal option for any individual who wants to settle in any new region having minimum resources.
Types of loan:
Loan can be classified into two categories:
Secured loans:
A secured loan is the one that you can avail if you have some credit background, handsome asset to show and proof of paying back to that institute in limited time period.
Unsecured loans:
It caters the loan in which you don’t possess any asset e.g. house, property, credit, car. In this type, institutions are usually at risk, of getting their money back as they don’t have any mortgage property of the customer.
Personal loan is basically unsecured loan These loans don’t require collateral such as your home, car or other personal property.
Personal loan can be taken for many purposes.
- House building
- Company startup
- Student fee
- Car lease
Finance institutions:
Banks:
Usually banking policies differ in giving loan to the people. Some care for their customers and allow loan at very low interest rates for long term relationship with their customers and some keep their risk level low by satisfying their policies like full documentation of the client. Almost all banks in Dubai provide personal loans. The loan amount and interest would depend on individual’s current financial status e.g. salary, credit history, current financial liabilities etc.
You can go through different banks like ENBD, NBAD, or Islamic banks EIC, as they have somehow better pre-payment terms and solution plans.
Banks usually provide two type of personal loan
Type of personal loan:
- Installments loan: Those you have to pay back in the form of some regular installments, in the specified time period. You cannot exceed the timelines otherwise you interest rate get doubled to some percent or you get extra charges on that loaned amount.
- Signature loans: The amount you take from bank, promising them to give it back to the bank by signature their detailed policy form. In this case, bank value or trust their customer.
Eligibility Criteria to Apply for personal loan in bank:
- Individual should be Salaried/Self-employed
- UAE national ID card or a valid passport
- valid residency visa for the UAE is also needed.
- If the bank requires a salary transfer, then a letter of salary transfer will also be needed
Money lending companies:
For the ease of people coming new to Dubai, already established groups have made their minds to lend people money rather their investing in some bank directly. They invest on people directly and small loans can be made at win-win situation to both company and customer.
Eligibility criteria for loan:
- Clear history, no former loans pending from with another country
- You should have work permit or Proof of identity
- Dubai residence visa
- Income statement or company contract
- You can ask for amount not more than 20 times your monthly income
- Loan has to be payback in full within 48 months.
- Minimum six months of service at the time of loan application.
Peer to peer loans : It allows you to borrow from individuals, rather than to ask from a traditional lender such as a bank. It includes:
- Several websites allow you to post a loan request online, and people may or may not step in and fund your loan.
- These loans, like signature loans, are mostly fixed-rate installment loans, and they have competitive interest rates.
How KWS Can Help You?
Mostly people are not aware of the ways to get the loan at their ease, on low interest rates, not known of loan procedures or the way to get quick access to the money. All you need is someone to do ask for your loan on your behalf and here we come:
KWSME takes care of its customers, we approach you not only to the banks but also to the Local sponsor in UAE. For more information about personal loans in Dubai, Please Contact Us or call on 00971-(04) 871 4313, or send an email to info@kwsme.com
