Compare & Apply Online Personal Loan in UAE

What is Personal Loan?

With a personal loan in UAE, you can cover a variety of expenses without needing any collateral or a guarantor. As an unsecured loan (without collateral), it offers the flexibility to use the funds for various needs such as financing an international trip, paying for higher education, consolidating debt, or celebrating major events like weddings.

When you take out a personal loan, you need to repay the borrowed amount over time along with interest. The personal loan interest in UAE can be calculated using either a reducing or flat rate. Note that the interest rate is based on factors such as your income, credit history, age, and employment status.

This flexibility makes it a valuable option for those who need quick financial assistance without the pressure of immediate repayment.

Personal Loan Interest Rate in UAE

Personal loan interest rates in the UAE vary as per the bank, your credit profile, income, and whether the salary is being transferred to the lending bank. In the UAE, personal finance rates can be divided into two categories —

Flat Interest Rate -

A flat rate is estimated on the principal amount throughout the repayment period, irrespective of how much of the loan has been cleared. This results in higher total interest paid compared to reducing the balance rates. Flat rates are often lower, but the actual cost can be higher when compared with reducing rates, especially if you don’t settle the loan early.

Illustration

If you borrow AED 100,000 at a 4% flat rate for 4 years, the total interest would be AED 16,000 (4% of AED 100,000 × 4 years), and your total repayment would be AED 116,000. In this case, the monthly instalments would be around AED 2,417.

Reducing Interest Rate -

A reducing personal loan interest rate is applied to the outstanding balance, meaning the interest payable decreases as the principal is repaid. This results in lower overall interest payments compared to flat rates.

Illustration

If you borrow AED 100,000 at a 7% reducing rate over 4 years, the interest is calculated on the decreasing balance, not the full amount. The first month’s interest would be higher, but as the principal reduces, so does the monthly interest portion.

Over the loan tenure, the total interest paid would be significantly less than a flat-rate loan with a similar percentage, particularly if you choose to repay it before completion.

Check loan eligibility and apply personal loan

Types of Personal Loans in Dubai, UAE

Personal loans in UAE come in a variety of options — you can find ample options to meet your specific financial needs and eligibility criteria. Here is a look at some of the common types of personal loans in Dubai, UAE -

Personal Loans for UAE Nationals - These loans are specifically designed for UAE nationals, often featuring favourable terms such as higher loan amounts and lower UAE personal loan interest rates.
Personal Loans for Expatriates - Expats in the UAE can also access personal loans that are crafted to suit their specific conditions and residency status. These loans might have slightly different terms compared to those for UAE nationals.
Personal Loans with Salary Transfer - For a personal loan with salary transfer, you need to transfer your monthly salary directly to the bank offering the loan. Generally, such a loan comes with lower interest rates and is considered the best personal loan in UAE.
Personal Loans without Salary Transfer - For those who prefer not to transfer their salary to the lender, there are options available that don’t require salary transfer. However, keep in mind that these loans might carry a higher interest rate due to the increased risk to the lender.
Personal Loans for Self-Employed Professionals - If you’re a self-employed individual in the UAE, you can get these loans. Such loans often require proof of income through bank statements. They accommodate the variable income patterns of entrepreneurs and freelancers.
Personal Loans without Company Listing -Typically, banks prefer lending to employees from listed companies because of perceived stability. However, some lenders do offer loans to individuals whose employers are not listed with the bank. Note that these might come with higher UAE personal loan interest rates.

How to Calculate Your Personal Loan EMI In UAE?

You can easily calculate your personal loan EMI using an online calculator. A personal loan calculator in UAE is an automated tool that simplifies the process, providing quick and accurate results without the risk of human error in calculations.Banks and other lending institutions have their personal loan calculators. We, at Paisabazaar.ae, also offer a free online personal loan calculator. This free digital tool is accessible to all. By simply entering the loan amount, loan tenure, and interest rate, you can know your monthly instalments.

Note - The actual outcome may differ from the original amount. This is because the final interest rate is decided by the bank

Best Personal Loan Plans in Dubai, UAE - 2025

Finding the right personal finance can be overwhelming, with so many options out there. Additionally, many among us may not know what metrics to look at to make the right decision. To make things easier for you, we bring some of the best personal loans in UAE in an easy-to-understand table. You can understand each option based on key factors like eligibility and interest rates.

Take a look for a comprehensive overview —

Loan	Minimum Salary	Flat Rate* (p.a.)	Reducing Rate* (p.a.)	Apply
HSBC Personal Loan (Salary Transfer)	AED 7,500	N/A	6.99%	Apply Now
Deem Finance Personal Loan	AED 5,000	N/A	15.99% - 34.99%	Apply Now
Dubai Islamic Bank Personal Loan	AED 7,000	4.9%	5.99% - 21.99%	Apply Now
RAKBANK Personal Loan	AED 10,000	2.85%	5.49%	Apply Now
Abu Dhabi Islamic Bank Personal Finance	AED 8,000	N/A	N/A	Apply Now
Emirates NBD Loan for UAE Nationals/Expats	AED 5,000	N/A	5.99%	Apply Now
Emirates Islamic Bank Personal Finance for Expats/UAE Nationals	AED 10,000	2.85% (for expats) 2.5% (for UAE nationals)	5.22% (for expats) 4.74% (for UAE nationals)	Apply Now

*For reference only — actual rates may vary

Get the Best Personal Loan from the Top UAE's Banks

Emirates NBD Loan

Emirates Islamic Loan

CBD Loan

Dubai Islamic Bank Loan

Standard Chartered Loan

Sharjah Islamic Bank Loan

Ajman Bank Loan

National Bank of Fujairah Loan

Citibank Loan

NBQ Loan

Steps to Compare Personal Loans in UAE

With so many options available, choosing the right one can feel challenging. While it’s tempting to go for the one with the lowest rate, it’s important to remember that the cheapest personal loan in UAE may not always be the best. A good loan should not only fit your budget but also align with your financial goals and lifestyle.Thus, it’s necessary to take time to compare and understand a variety of factors besides the advertised rate. When you check the costs as well as the finance amounts, eligibility requirements, provider reviews, and more, you can find the right option that truly works for you.

Here's how you can compare personal loans in UAE —

Explore Options: On platforms like Paisabazaar.ae, you can look at the top loans and go through the key features of each option.
Check Salary Criteria: Take a look at the minimum income requirements set by the concerned bank for loan eligibility.
Estimate Monthly Instalments: Use the EMI calculator to understand your monthly repayment obligations.
Understand the Requirement for Salary Transfer: Check whether it’s necessary to transfer your salary to get the loan. While such transfers may lead to better loan terms, many people look for loans without this requirement considering the additional hassle.
Review the Applicable Interest or Profit Rates: Compare both flat and reducing interest rates (or profit rates for Islamic financing options) to identify plans that offer the most affordable borrowing in the long run.
Evaluate Repayment Terms: Check out the repayment period as well as the grace period and the ease of repayment.
Look for Added Benefits: Some loans come with extra features like deferred payment options, credit shield protection, and seamless early settlements. These can make a big difference over time.

Top 5 Banks for Personal Loan in UAE with Low-Interest Rate and Different Loan Offers

While we took a brief look at the best personal loans in UAE earlier, it’s time for a deep dive. In this section, we will break down the top 5 options from the leading banks — giving you a closer look at what each plan offers beyond the basics. You will find more details on interest rates, eligibility, features, and what makes each loan stand out. So whether you’re looking for lower instalments, swift approvals, or any other perk, this comparison will help you identify the best options that meet your needs.

HSBC -

HSBC, with a presence of almost eight decades in the UAE, is one of the leading providers of personal finance in the Emirates. With interest rates starting from just 6.99% p.a., it’s an excellent choice for those seeking low-cost borrowing. Coming with additional perks such as loan top-up, buyout, and more, it can be used to finance all your personal needs — whether it’s education, travel, home improvement, and more.

Parameters	Description
Loan Amount	Up to AED 500,000
Reducing Interest Rate	Starting from 6.99% per annum
Top-up Option	Available after the initial 12 successful monthly repayments
Life Insurance	Complimentary offering

Apply Now

Deem Finance -

Next on the list of best personal loans in UAE is the Deem Finance Personal loan. This loan, vouched for its high transparency, comes with a high amount of AED 150,000 and is available at a low salary of AED 5,000. It stands out for its flexible repayment periods and not requiring a salary transfer. Plus, with quick eligibility checks and minimal documentation requirements, it’s a convenient option for borrowers seeking a hassle-free process.

Parameters	Description
Loan Amount	Up to AED 150,000
Reducing Interest Rates	Ranging between 15.99%- 34.99% per annum
Salary Transfer	Not Required

Apply Now

Dubai Islamic Bank -

Dubai Islamic Bank (DIB) is a popular name among those seeking Sharia-compliant personal finance options in the UAE. Offering loan amounts of up to AED 4 million, it’s ideal for those seeking high financing. One of its most remarkable features is the 120-day period for the first instalment, giving you breathing room to plan your finances. With a low fixed interest rate and quick processing, this loan presents a combination of convenience and affordability.

Parameters	Description
Loan Amount	Up to AED 4 Million for UAE nationals Up to AED 2 Million for expats
Fixed Interest Rate	Starting from 4.9% per annum
Reducing Interest Rate	Ranging between 5.99%- 21.99% per annum
First Instalment in Up to	120 days — for UAE nationals 90 days — for expats

Apply Now

RAKBANK -

RAKBANK, founded in 1976, is another trusted name offering some of the top personal loans in UAE. Known for its seamless documentation and swift approvals, it is a good choice for those who quickly need to access financing for personal requirements. One of its key advantages is the flexibility it offers through loan top-ups and deferments, which makes it easier for you to manage your finances on the go!

Parameters	Description
Fixed Interest Rate	Starting from 2.85% per annum
Reducing Interest Rate	Starting from 5.49% per annum
Monthly Payment Holidays	Up to 2 monthly deferments
First Payment Holiday	First instalment deferment up to 120 days

Apply Now

Abu Dhabi Islamic Bank -

Abu Dhabi Islamic Bank (ADIB) personal finance is a Sharia-compliant option with high financing amounts, which can go up to AED 3 million. Its profit rates, meanwhile, are competitive and keep the borrowing within your budget. With pre-approvals quickly done in 30 minutes, you can easily get the financing you need without much hassle. Moreover, if you face issues in repayment due to unfortunate circumstances, you can make two instalment postponements for free.

Parameters	Description
Finance Amount	Up to 3 Million for UAE nationals Up to 1 Million for UAE expats
Grace Period	Up to 120 days
Takaful Coverage	Included

Apply Now

Eligibility Criteria to Apply for Personal Loan in UAE & Dubai

Eligibility criteria for personal loans in the UAE vary from one financial institution to another, but there are common requirements that most banks and lending institutions generally consider.

Here is a table summarising these criteria:

Eligibility Type	Criteria
Age	Minimum — 21 Years Maximum — 65 Years for expats 60 Years for UAE nationals
Salary	Minimum — AED 5,000 per month
Nationality	Both UAE nationals and expatriates can apply
Status of Employment	Salaried or self-employed individuals

📝Note - Additional eligibility criteria may include your credit Score and other factors.

Document Required to Apply for Personal Loan in Dubai

Given is a list of the general documents required for personal loan application processing —

✔️Emirates ID
✔️Passport
✔️UAE Residence Visa
✔️Latest 3-6 Months’ Bank Account Statement
✔️Latest Salary Certificate
✔️Security Cheque

Note

📝All the documents must be valid

📝Keep the originals and copies of each document handy

📝Additional documents may be required

How to Apply Personal Loan in the UAE?

With Paisabazaar.ae, securing your desired loan is just a few simple steps away! Here’s how —

Step1- Fill out the lead form correctly and submit it.
Step2- You will be taken to the quotes page.
Step3- Compare your loan options from various banks and go through their fine print.
Step4- Select a finance option that suits your financial requirements
Step5- Hit the ‘Apply’ button and follow the on-screen prompts.

Frequently Asked Questions

Both UAE nationals and expatriates with stable incomes can apply. However, while applying, you need to fulfil the minimum income requirements as well as other criteria. For instance, some personal loans are available only for nationals, while others might be specifically made for expats.

You must have a monthly salary of at least AED 5,000 to be eligible for a loan. However, keep in mind that this is the minimum figure. Actual salary requirements vary as per the bank and can go higher than the mentioned figure.

Yes, self-employed individuals can apply for a personal loan in UAE provided they meet the eligibility criteria set by the bank. These requirements typically include a minimum income threshold, proof of business stability, and relevant documents like trade licence, bank statements, and more.

In the UAE, the loan amounts can go up to 20 times your monthly salary, subject to the bank’s policies, your credit history, and more. Keep in mind that some banks may also set a maximum cap, irrespective of your income. This figure, going as high as AED 4 million for nationals, is usually slightly lower for expats.

The repayment terms of these loans in the UAE usually range from 12 to 48 months, depending on the lender and its terms. With some banks, this period can go up to 60 months for UAE nationals who work for the Ministry of Defence.

Personal loan interest rates in the UAE vary as per the bank. They are also influenced by your age, monthly income, credit score, and more. With some banks, you can find interest or profit rates starting from as low as 2.47% p.a.

Some banks in the UAE require a salary transfer as a condition for approving the loan, often in exchange for better interest rates and terms. Others offer non-salary transfer options, which provide more flexibility but typically come at higher interest rates. It’s important to make a choice based on what aligns with your employment setup and goals.

The difference between flat rates and reducing rates lies in how the interest is calculated. Under a flat rate, the interest is calculated on the original loan amount throughout the period. With a reducing rate, however, the interest is calculated only on the outstanding loan amount at any given point.

Yes, you can repay the loan before the end of its specified period. However, most banks charge an early settlement fee, which is typically around 1% of the outstanding amount. It’s a good idea to check with your lender in advance, as some may waive the fees or offer flexibility in options under certain circumstances.

Yes, if your debt burden ratio remains within the allowed limit (generally 50%).

Approval can take from 24 hours to 5 business days, depending on the bank.