Mashreq Car loan
Mashreq Bank is one of the leading banks in UAE that offers innovative financial solutions at a low cost. The bank offers finance for the purchase of cars through car loans. The car loans offered by Mashreq Bank come at a low rate of interest with a wide range of additional benefits including a free current account to the borrower, overdraft facility, and a special rate for insurance, high loan amount, long tenures and much more. The loan is available for both salaried and self-employed individuals given that they reside in UAE.
About the Bank
Mashreq is a banking and financial services institution that is located primarily in UAE and has 12 offices overseas, in countries including Europe Asia and USA. It was established in 1967 and has grown to become one of the leading banking institutions, with ever expanding networks, in countries such as Egypt, Qatar, Kuwait and Bahrain.
Mashreq Bank provides a vast range of unique products and services. The bank has branches all over UAE and it also has client administration and service centres in major localities and is among the few banks that have a huge ATM network.
You’re probably eligible for Mashreq Car Loan if you are
At least 21 years old
Salaried or self-employed
with regular income
Earn more than the minimum income required
Your Mashreq Car Loan amount eligibility is based on these factors
Minimum income required
AED 5,000 per month
Loan capped is AED 500,000 of the Ex-Showroom price of Car value
EMIs of other loans lower your eligibility
Increase your eligible Mashreq Car Loan amount by these steps
Pay off your credit card bills
Choose longer tenure loan up to 5 years
Documentation needed to apply for an Mashreq Car Loan
- 1.Application form
- 2.Valid Passport with residence visa page for Expatriates
- 3. Driving License
- 4. Salary Certificate / Salary Transfer letter (Issued in last 30 days)
- 5.Latest 3 months bank statement ( Mashreq a/c not required )
- 6. Ownership Document & Evaluation certificate for used cars purchased from Non approved dealership or Individual
Mashreq Car Loan Interest RatesUpdated on 21 Feb 2017
Highlights of Mashreq Bank Car Loan:
Some major highlights of availing car loans from Mashreq bank are:
- It provides an attractive interest rate of 2.35% per annum.
- Mashreq bank provides loan funds up to as much as AED 500,000.
- The bank also provides a very flexible option for repayment of loan including flexibility in the period of repayment.
Benefits of Mashreq Bank Car Loan:
- The bank provides unique rates towards taking insurance for the car.
- The bank provides a current account to the customer free of charge and it does not require a specific balance amount to be maintained.
- There is a provision for an overdraft facility of up to AED 100,000 which comes free of cost.
- A Platinum Elite Credit Card is given to the customer which is also free of cost.
- The bank offers 45,000 reward points for a loan amount worth AED 100,000.
Eligibility Criteria for a Mashreq Bank Car Loan:
- The applicant has to be a resident of UAE.
- The applicant has to be with the age group of 21- 65 years.
- The applicant has to have a monthly income of AED 5,000.
- The customer can either be a salaried or self-employed and has to have relevant documents substantiating the same.
Documents Required for Mashreq Bank Car Loan:
- The applicant has to fill and file an application form from the bank.
- A copy of the passport has to be submitted at the time of application, with a copy of UAE visa details in case of expatriates.
- A copy of driving license is also mandatory.
- The applicant has to submit a latest issued salary certificate or certificate of salary transfer.
- The applicant has to provide the bank statement of the last three months from their personal accounts.
- A document of ownership as well as evaluation certificate for purchase of used cars from non-recognized car dealership or individuals, has to be provided.
For Self Employed
Same documents have to be provided at the time of application as for salaried applicants and a few other additional information has to be provided such as:
- A copy of the trade license.
- Documents of partnership agreement, copy of the trade licence, articles of association etc. have to be provided.
*The same applies to Companies that want to avail car loans from the bank.
Listed below are the fees and charges applicable on Mashreq Car Loan
- Processing fee- The bank charges a certain amount for the processing of the loan known as processing fee. The processing fee for Mashreq Bank Car loan is 1% of the loan amount (minimum being AED 500 and maximum being AED 2500)
- Loan postponement fee- Loan postponement with Mashreq Bank car loan attracts a fee of AED 100 per postponement
- Late payment fee- Late payment fee of 2% of the outstanding loan amount is charged for the car loan.
- Early settlement fee through other banks- Early settlement with sources through other bank attracts a fee of 1% of the outstanding loan amount or AED 10,000 depending on whichever is less
- Early settlement fee through own resources- An early settlement fee of 1% of the outstanding loan amount or AED 10,000 is charged for early settlement of the loan through own resources
- Liability letter addressed to other bank- A fee of AED 100 is charged for liability letter addressed to other bank
- Loan rescheduling fee- Rescheduling of Mashreq Bank Car loan attracts a fee of AED 250
- Loan cancellation fee- Cancellation of the loan attracts a fee of AED 100
- Change of PDC- No fee is charged for change of PDC
Other Products offered by Mashreq Bank are:
Can I apply for a car loan through Mashreq Bank’s online portal? If yes, how?
I am a salaried person. What are the qualifications to apply for Mashreq Bank’s car loan?
Are there any perks of availing car loan from Mashreq Bank?
How is taking a car loan from Mashreq Bank different from other banks?
Yes you can register on Mashreq Bank’s website for loan application. Applying for a car loan online is quite a simple process. All you have to do is to visit the bank’s portal and click on ‘Apply Now’. Select your Emirate and the bank’s branch closest to you. Fill in details such as your name, mobile number, email ID, name of your company, and the monthly salary you draw. Once you are done, submit the form and you will be automatically registered. The bank’s representative will then get in touch with you for further process.
You will have to be at least 21 years old if you wish to avail the loan. The maximum age is 60 years on the maturity of the loan. Your monthly income should be around AED 5000.
Based on the car you wish to purchase, you will be loaned up to AED 500,000. However, depending on the car’s model and your employment status, a down payment will be required.
You don’t have to bring a guarantor for surety of the loan. There is minimum documentation and most competitive rate of interest available in the market. The interest rate is calculated on the basis of reducing balance.
At Mashreq Bank, we understand your exact requirements. Apart from the car loan, we also offer a number of other benefits such as:
- Free zero-balance current account till the duration of the loan
- Free chequebook
- Attractive interest rates on motor insurance
- Free ATM/Debit card accepted globally
- Free online banking service
When is the repayment tenure of Mashreq Bank’s car loan?
The tenure for repayment starts from 12 months and extends up to 60 months. One of the advantages of Mashreq Bank is that the borrower can choose the tenure to repay, on his ease of payment.
All the top banks in the UAE offer car loans with lots of attractive features and a wide range of benefits. But out of so many, which car loans have made it to the top list?
There are many financial institutions in the UAE which finance 100% of the loan amount, and you do not need to pay any down-payment while buying the car.
Even the expats in the UAE can buy the car of their dreams with a car loan as all the leading banks in the UAE offer car loans for the expats. It is an easy business, even though the expats will need to provide a little more information about themselves.
Whether for their family or for their personal use, the banks in the UAE offer NRIs staying there to apply for a car loan, especially designed for them. The NRI Car Loans are modified to make it easier for the NRIs to avail the loans.
Yes, you can. The banks in the UAE provide car loans even for buying commercial vehicle(s). Even these offer a wide range of benefits like high range of financing, flexibility of down-payments and longer tenures.
Islamic Car Loan or Car Leasing or Car Ijarah these all are just another terms for Islamic Car Financing in the UAE. It differs a lot from the conventional banking mode and is based on the Sharia principles of the Islamic law. Best thing, its interest free!
News about Mashreq Bank Car Loan in the UAE
Mashreq bank is expecting their wholesale operation to grow 25% to 30% in 2016
The third largest bank in Dubai in terms of their assets, is expecting their wholesale operation to grow above the market in 2016 by 25% to 30%. They are targeting their lending to many new sectors. In UAE, due to high liquidity they were able to offer cheap deal with relation to finance. With the liquidity tightening, the rates of interest are also on the rise. The economy of UAE has expanded to 3% in 2016, suggestive to the wholesale operations possibility of reaching 5.5% and 7.5%.
17th February 2016
Mashreq uses the A2A feature to check defaulters
The first bank to use the app created by the credit bureau in January 2016, helping the bank to streamline their users ensuring the security and confidential data is had minimum human intervention. Making on the spot decisions with relation to loan decisions as per the customer previous records and risk appetite will be a value add using the A2A feature.
15th February 2016
Mashreq profits for first 9 months of 2015 reported to be AED 1.8 billion
The profits reported by Mashreq for the first 9 months of 2015 have been AED 1.8 billion which is a 5.1% increase on it profits for the previous year. Even the net interest margin for them has improved to stand at 3.13%, most of which happened in the first half of the year. The operation income reported was AED 4.5 billion, which is an increase of 3% year-on-year. Their total assets reached AED 111.4 billion which is an increase of 5.2% compared to their assets from the end of the last year. Deposits by customers rose to by 6.7% to AED 73.1 billion and the loan deposit ratio came down to 79.9% as compared to last year’s ratio of 84.8%. The loans and advances provided by Mashreq also came up to AED 3.1 billion and the capital adequacy ratio stood at 16.7%.
23rd October 2015