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Car Finance Advice & Providers in the UAE

Looking for car finance in the UAE?

Read our advice on getting car finance in the UAE and view the full list of car loan providers in the UAE below.

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Taking an auto loan is the most popular way of financing a new car purchase in the UAE, and for good reason - car buyers can take advantage of extremely competitive interest rates making it a great option to buy your dream car.

But what do you need to consider when applying for finance, and how do you if you'll get approved?

Find out below.

Who will give me car finance in the UAE?

Any financial institution in the UAE can provide car finance. See the full list of banks that provide auto finance in the UAE below, or ask your local dealership if they have their own registered finance company which may also be able to help.

 

What do I need to pay up front?

The UAE Central Bank dictates that all buyers must pay 20% of the vehicle value as a downpayment, however some dealerships are able to offer assistance with this payment.

Click here if you would like us to have your chosen dealership contact you for more information.

 

How long will I have the loan for?

You can take car finance in the UAE for periods from 12-60 months (5 years) with most banks.

The length of the loan will be dependent on how much you are willing to pay back per month - the more you pay each month the shorter the overall term of the loan will be, and the less interest you will pay.

 

How much can I borrow as a car loan in the UAE?

Most banks offer loan amounts high enough to cover almost any new car purchase, so you need to base your calculations on your monthly salary.

Start by taking half of your monthly salary then subtract any existing monthly loan repayments from that figure.

Next, take 5% of all of your credit card maximum limits, and subtract that as well. The resulting figure is the maximum monthly amount you will be allowed to pay.

Multiply the result by 60 (the maximum term offered by most banks) to see the total amount you can afford. Note that you will need to take 3-4% off this figure to account for the interest you will pay on the loan.

 

Car Loan in the UAE Example:

Monthly Salary 15,000
Half of Monthly Salary 7,500
Existing Personal Loan Repayment 1,200
5% of 1st Credit Card Limit (20,000 x 0.05) 1,000
5% of 2nd Credit Card Limit (25,000 x 0.05) 1,250
Maximum Monthly Installment 4,050
5 Year Loan Term 60
Maximum Loan Amount (before interest considered) 243,000

 

What other conditions are there for me to take a car loan in the UAE?

Each bank has its own criteria for how it decides if it will approve a finance application in the UAE. See our list of all banks below with some of the conditions specific to each lender.

There are some exceptions to this, but in general you will need to satisfy the following criteria for car loan approval in the UAE:

  • Minimum salary of AED 5,000 per month
  • Minimum age of 21
  • At least 6 months with your current company
  • A good credit score (see more below)

 

What does my credit score need to be to have a finance application approved?

Your credit score is stored and calculated by the Al Etihad Credit Bureau (AECB), which is a Public Joint Stock Company wholly owned by the UAE Government. The AECB collects information from financial and non-financial institutions in the UAE such as banks, credit card providers, and government agencies such as DEWA to calculate your credit score.

Each car loan provider in the UAE will make its own decision on what credit score it deems acceptable, but you can use the following as a rough guide:

  • Clients with a score above 600 will likely be approved
  • Clients with a score between 450 and 600 will likely be subject to further scrutiny and discussion to determine approval
  • Clients with a score below 450 will likely be declined

You can visit the AECB website here to find out your credit score. Please note it costs AED 31.50 for a basic credit score report.

 

What documents do I need to apply for car finance?

You will generally need the following documents to apply for car finance in the UAE.

Please note that requirements may differ slightly from bank to bank.

  • Last 3-6 months bank statements
  • UAE driver licence copy
  • Salary certificate no less than 30 days old
  • Copy of Emirates ID, passport, and visa page
  • Proof of the car sale price

 

Are there any hidden costs I need to watch out for?

Most banks charge a 1% processing fee for new car loan applications in the UAE. This fee is calculated as a percentage of the loan amount and is usually capped at around AED 2,500 (although this varies from bank to bank).

Always ask your car finance loan provider for a copy of their fee schedule up front to avoid any surprises when you decide to commit to the loan.

 

We hope you have found this advice helpful! If there's anything else you would like to ask please contact us and we'll be happy to help.

Read on for a full list of car loan providers in the UAE.

List of Car Loan Providers in the UAE

See below the full list of car loan providers in the UAE.

We only list banks here, if you are interested in finding out if your local car dealership offers finance please make an enquiry and we will be in touch to help.

This list is in alphabetical order.

Abu Dhabi Commercial Bank (ADCB)



Rate (From) 2.25%
Max Loan Value 1,500,000

ADCB Website

Abu Dhabi Islamic Bank (ADIB)



Rate (From) 2.75%
Minimum Salary 5,000
Salary Transfer Required? No

ADIB Website

Ajman Bank



Max Loan Value 600,000
Minimum Salary 5,000
Salary Transfer Required? No

Ajman Bank Website

Al Hilal Bank



Minimum Salary 5,000
Salary Transfer Required? No

Al Hilal Bank

Arab Bank



Rate (From) 2.49%

Arab Bank Website

Bank of Baroda



Rate (From) 2.75%
Max Loan Value 1,250,000
Minimum Salary 4,000

Bank of Baroda Website

Commercial Bank International (CBI)



Max Loan Value 500,000
Minimum Salary 5,000
Salary Transfer Required? No

CBI Website

Commercial Bank of Dubai (CBD)



Rate (From) 2.18%
Minimum Salary 8,000

CBD Website

Dubai Islamic Bank (DIB)



Max Loan Value 1,500,000
Minimum Salary 3,000
Salary Transfer Required? No

DIB Website

Emirates Islamic Bank



Rate (From) 2.49%
Max Loan Value 1,500,000
Salary Transfer Required? No

Emirates Islamic Bank Website

Emirates NBD Bank



Rate (From) 2.69%
Max Loan Value 300,000
Minimum Salary 4,000

Emirates NBD Website

First Abu Dhabi Bank (FAB)



Rate (From) 2.35%
Max Loan Value 1,500,000

FAB Website

HSBC Bank Middle East



Rate (From) 2.59%
Max Loan Value 918,000
Minimum Salary 7,500
Salary Transfer Required? Yes

HSBC Middle East Website

Mashreq Bank



Rate (From) 3.45%
Max Loan Value 500,000
Salary Transfer Required? No

Mashreq Website

National Bank of Fujairah (NBF)



Rate (From) 2.20%
Max Loan Value 1,000,000

NBF Website

National Bank of U.A.Q (NBQ)



Rate (From) 2.75%
Max Loan Value 500,000

NBQ Website

Noor Bank



Rate (From) 2.64%
Max Loan Value 500,000
Minimum Salary 8,000
Salary Transfer Required? No

Noor Bank Website

RAKBANK



Rate (From) 2.35%
Minimum Salary 5,000
Salary Transfer Required? No

RAKBANK Website

Standard Chartered Bank



Max Loan Value 1,000,000
Minimum Salary 20,000
Salary Transfer Required? No

Standard Chartered Website

United Arab Bank (UAB)



Rate (From) 2.99%
Max Loan Value 500,000
Minimum Salary 7,500
Salary Transfer Required? No

UAB Website

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