• Loan is credited after all required securities and documents are submitted.

• Borrowers must provide a salary transfer letter from their employer.

• Personal guarantees may be required depending on the loan type.

• Interest is calculated daily and added to monthly installments.

• Fees and commissions are subject to VAT.

• Repayment terms can be adjusted by the bank if interest rates change.

• Maximum loan tenure is typically 48 months.

• Banks may require post-dated cheques or salary transfer as collateral.

• Some banks also require guarantors or additional financial documentation.

You can view a sample agreement from Emirates NBD.

The UAE Central Bank enforces strict rules to protect borrowers and ensure financial stability:

• Loan Limit: Cannot exceed 20 times the borrower’s monthly salary or income.

• Repayment Cap: Monthly loan repayments must not exceed 50% of gross salary and regular income.

• Loan Tenure: Maximum of 48 months for personal loans.

• Due Diligence: Banks must verify income and liabilities before approving loans.

Full regulation details are available in the CBUAE Rulebook.

• Only licensed financial institutions can issue loans.

• Lending with interest by individuals or unlicensed entities is illegal and punishable by imprisonment and fines (minimum AED 50,000).

• Loans between companies are allowed but must comply with UAE Civil Code.

• Public joint-stock companies cannot offer loans for share acquisition or to directors and their families unless licensed.

• The Al Etihad Credit Bureau provides credit reports to assess borrower risk.

• Sharia-compliant loans (e.g., Murabaha, Ijara) are available and follow Islamic finance principles.

• Regulatory bodies include the UAE Central Bank and Securities and Commodities Authority
  
  
  
  

  GSB Capital Ltd is a company registered in the Dubai International Financial Centre (DIFC) with licence no. CL4377. The company is regulated by the Dubai Financial Services Authority (DFSA) under licence no. F006321. Our commitment to regulatory compliance and ethical conduct is a core principle of our operations.

  All activities performed by GSB Capital Ltd in or from the DIFC are governed by the laws and regulations of the DIFC.

  THE INFORMATION ON THIS WEBSITE IS INTENDED FOR A GLOBAL AUDIENCE, WITH THE EXPLICIT EXCLUSION OF PERSONS WITHIN THE UNITED KINGDOM. IT MUST NOT BE ACTED UPON BY PERSONS IN THE UNITED KINGDOM.

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