Personal Finance Tips That Will Change the Way You Think

Posted by Hazel Frank on January 10th, 2020

Life is so busy in UAE and one has to be vigilant enough to manage all things in a smart way. Particularly if we talk about financial matters, these are hard to handle due to the attractive and lavish lifestyle. You can manage your financial resources or not, it is a question of the day. The answer is pretty simple that there is nothing that is impossible. Talking about banking services in the UAE to auto financing matters, everything can be put in the exact box with proper planning.

One of the best solutions is the personal loan services being provided by Dubai banks. When we say personal loan it can be used not only for home renovation but many other tasks as:

• To support the education of your children
• If you have any unexpected happening in your family as some sort of medical issue with your loved ones, you can use a personal loan to take care of that matter.
• Similarly, if you want to finance your home or a vehicle, banks in the UAE can facilitate easy repayment loan services.

The next question is how to take such type of loan facilities? There are two main pathways to finance your loan from a bank or any other lending institution in the UAE. For example, if you are residing in this region for so long with a permanent tag then things will work more in favor of you. With easy terms and conditions, any bank of your choice will be agreed to provide you the loan at the lowest interest rate.

Benefits of a loan

For most of the customers, any fixed deposit rates can work in a perfect way while on the other hand personal loan for a longer tenure would be a suitable choice. These loans are generally available for longer tenure going up to 15 years while the tenure in case of personal loan is generally up to 7 years.

Another major benefit of taking a loan is that it can be availed at lower EMI. There is an inverse relationship between tenure and EMI and one has to understand the basics. Longer the tenure lower will be the EMI and vice versa. As these loans are available for a longer tenure, so it becomes suitable for people who can’t afford to pay higher EMIs.

How does the lender decide the loan amount?

I personally think that agency deposit profit rates would be a suitable choice to finance your all resources but in case you are unable to do that then a personal loan can be used. One of the frequently asked questions is what should be considered to decide the loan amount and what banks considered to provide the loan amount? The lender takes into consideration many factors such as your income, age, spouse’s income value of the property. There are many other things like your credit card history in consideration to decide on your loan amount. The lender generally provides loans according to the requirement of a customer.