Your numbers

Income, commitments & the loan you want

Rates & rules as of July 2026

Gross monthly income AED

Existing monthly installments AED

Total credit card limitsiBanks count 5% of your total card limits as a monthly commitment, even on cards you never use. Limits are verified via your AECB credit report. AED

Rate type

Interest on what you still owe.

Reducing rate (p.a.)iThe annual rate the bank quotes. Salary-transfer loans are usually priced lower; without transferring your salary expect roughly 1–2 percentage points more. 6.5%

Typical salary-transfer loans: ~5.5–10% reducing.

Tenure 48 months

CBUAE caps personal loans at 48 months.

Your debt burden ratioiDBR: your monthly debt commitments (loan installments plus 5% of credit card limits) divided by gross monthly income. CBUAE caps it at 50% of income, or 30% of pension for retirees.

–

Now With the max loan 50% CBUAE cap

Monthly repayment headroom

–

what a bank can let you commit before hitting 50%

Counted card commitment

–

5% of your total card limits, per market convention

Maximum personal loan on these inputsiThe lower of two CBUAE limits: the loan your remaining DBR headroom can service over the chosen tenure, and 20× your monthly salary. Personal loan tenure itself is capped at 48 months.

–

Monthly payment

–

Total interest

–

20× salary capiA hard CBUAE ceiling (Circular No. 29/2011): a personal loan cannot exceed 20 times your monthly salary, however much DBR headroom you have.

–

How the max loan pays down

–

Outstanding balance Cumulative interest paid Cumulative principal repaid

01The flat-rate trap

Quoted a flat rate? Check its real cost.

4% flat over 48 months is roughly 7.5% reducing.

Flat → reducing converteriA flat rate charges interest on the original loan amount for the whole tenure. A reducing rate charges only on what you still owe, so a quoted flat rate equals a much higher reducing rate.

Quoted flat rate (p.a.) 4.0% Tenure 48 months

Effective reducing rate

–

Payment per 100k

–

Interest per 100k

–

Sources

Regulatory limits: CBUAE Regulations Regarding Bank Loans & Other Services Offered to Individual Customers (Circular No. 29/2011), Article (2) for the 20× salary cap and 48-month maximum tenure, Article (3) for the 50% DBR cap (30% of pension for retirees); car loans capped at 80% of vehicle value over 60 months. A 2025 CBUAE update removed the blanket minimum-salary requirement. APR disclosure is required by the CBUAE Consumer Protection Standards; the 5% credit-card-limit factor is market convention, and banks verify liabilities via Al Etihad Credit Bureau (AECB) reports. Indicative market rates as of July 2026.

Educational tool only: not financial, legal or tax advice, and not a credit offer or eligibility decision. Regulatory limits reflect CBUAE Circular No. 29/2011 and related standards; indicative market rates are as of July 2026 and change frequently. Banks apply their own credit policies, income definitions and fees, so always verify the current rules and your exact terms with the lender and the Central Bank of the UAE before acting.

Early access · 2026

Take control of your financial future

Join the waitlist. Himma launches in the UAE soon. Be among the first in, with early-supporter perks.

No spam. Unsubscribe any time.