Personal loans from Union National Bank are offered at very competitive rates and the interest payable per month would vary as the EMI gets paid off per month regularly for the tenure of the loan. The following table illustrates the rates offered by the bank and the loan tenures that are acceptable –
|Flat Rate||As low as 2.36% per annum (estimated)|
|Floating Rate||As low as 4.5% per annum (advertised)|
|Early Settlement Fee||1% of outstanding loan amount|
|Processing Fee||1% of loan amount|
|Insurance Fee||0.9% per annum|
|Loan Amount||Up to AED 3000000 or AED 2000000 (for nationals and expats respectively)|
|Loan Tenure||Maximum of 48 months|
The rates mentioned above are subject to change depending on the bank’s discretion. Additionally, a lower rate might be offered by the bank depending upon the customer’s credit score and financial liabilities at the time of applying for the loan. The loan amount that might be allowed by the bank will be subject to 20 times the monthly salary of the customer.
Overview of Union National Bank Personal Loans
Union National Bank is one of the popular domestic banking institutions headquartered in the Abu Dhabi and has been in operation for over 30 years being established in the year 1982. This bank operates in all major financial transactions like savings, loans, corporate banking, treasury, leasing, property management and others. Under private banking, Union National Bank provides high loan amounts through its personal loans. These personal loans are offered for UAE nationals and expatriates.
Calculating the EMI on Union National Bank Personal Loans
The EMI payable on Union National Bank personal loans can be calculated by the tool provided on the website. The EMI will depend on the interest rate at which the bank is proving the personal loan. While the minimum rates have been mentioned above, the final loan interest rate is dependent on the drawn salary of the individual and will be as per the discretion of the bank.
As an indicative figure, if a National wants a personal loan of AED 100000 for a tenure of 12 months at a reducing rate of interest of 4.5% per annum, the EMI for such a loan would be AED 8537.85. This amount does not include extra taxes and is valid only on the base loan amount.
Factors affecting Union National Bank Personal Loan Interest Rates
Personal loans from Union National Bank have a few factors that affect the interest rates applicable. A lower or higher interest rate might be subject to the following factors –
- Employment History – A minimum one year employment at the current organisation and minimum 3 years employment history is a very preferred attribute that would allow one to avail lower interest rates. A stable employment history allows the bank to have more trust on the customer. Additionally, if your organisation is in the list of Union National Bank’s organisations, the chances of getting a better interest rate are even higher
- Loan Tenure – Flat rates mean the interest paid is calculated always on the main loan amount. Choosing a shorter tenure is advisable if one wishes to avoid paying interest for a longer time
- Monthly Income – For availing a personal loan from Union National Bank, a customer has to have a minimum monthly salary of AED 5000. In case of a national, the bank might consider the loan amount and take a further decision. Nevertheless, with a higher monthly salary, the advertised lowest interest rate from Union National Bank can be availed
- Credit Score – Offered interest rates and the time taken for the approval of the personal loan depends on one’s credit score too. Though not a central factor, it’s important to maintain a good credit score in order to avail the best offers from the bank regarding personal loans
Key Pointers about Union National Bank Personal Loan Interest Rates
- Minimum monthly salary requirement is AED 5000 for availing a personal loan
- Processing fees will be 1% of the loan amount and might be charged as per the discretion of the bank
- Salary transfer is required to avail a personal loan
- Identity documents and bank statements of 6 months need to furnished along with the loan application form while applying for the loan