Check and Compare car loan interest rate on used and new cars
Established in 1930, Arab Bank has developed a rich legacy over the years in the UAE due to its operations. The bank’s dedication to sustainable development manifested in 2011 when it became the first bank in Jordan to initiate a GRI-checked Sustainability Report that encompassed all the major activities in 2010. In the UAE, the bank offers different types of banking solutions whether for individual customers or corporate ones.
Arab car loan makes for an integral part of the array of products provided by the Arab Bank. With this type of loan, users are able to get the car of their choice in the UAE without cutting their spending elsewhere.
Given below are all the major aspects you need to know regarding the car loans provided by Arab Bank.
Given below are the salient features and benefits of Arab Bank Auto Loan –
The following eligibility criteria have to be fulfilled if you want to apply for the Arab Bank Auto Loan –
The following set of documents will have to be submitted while applying for the car loan in UAE from the Arab Bank –
Note: Additional documents might be required by the bank depending on the borrower’s credentials and eligibility.
The Arab car loan is available at an annual interest rate beginning from 2.49%.
Besides the interest rate, you would have to bear the fees and charges associated with Arab Bank’s car loan in UAE. Such fees and charges are listed in the table below –
Applicable fees and charges |
The amount or rate payable |
---|---|
Loan processing fee |
1% of the loan amount availed, with the minimum fee being AED 500 and the maximum one as AED 2,500 |
Early settlement of the loan |
1% of the remaining loan balance |
Advance payment of instalment |
1% of the amount of the instalment advanced |
Changing the due date on Standing Instructions |
AED 25 |
Fees for deferment of the instalment |
AED 100 |
Loan rescheduling fees |
AED 250 |
Penal charges for late payment of instalments |
4% of the delayed amount of instalment (AED 200 as minimum charge and AED 500 as the maximum charge) |
You can apply for a car loan in UAE either online or offline. Both the processes are convenient as Arab Bank provides the loan fairly quickly. The processes are as follows –
Both these methods have a common aspect in the aftermath of the application. If you’re verified as an eligible applicant, you will be contacted by the Arab Bank and guided through the subsequent processes.
To simplify the calculation process, Arab Bank has the provision of an online calculator to find out the instalment amount payable for the loan. You can access this calculator on its website and calculate the expected instalment amount by simply entering the following information –
It should be noted that the loan interest rate would generally be auto-filled once you enter the type of loan and other details. After you enter the specified information, the installment amount would be calculated and shown on the screen.
If you wish to explore more loan options and buy one right there in one place, you can view our ‘car loans’ section and have an easy purchasing experience. With policybazaar.ae, you get assistance from experts regarding all your insurance and finance queries in the most convenient way.
No, there is no fee applicable for cancelling your loan application within the specified period. The provision of a loan cancellation fee should be verified with the bank at the time of application.
Yes, you can close the loan before the stipulated tenure. However, such a closure would attract an additional fee which is 1% of the outstanding balance of the loan.
Yes, you can pay advance instalments to reduce your loan burden. However, such instalments would attract a fee of 1% of the advance amount.