Education & Student Loans in Dubai (UAE)

The road to better jobs, more income and improved lifestyle is paved by education. However, people find it difficult to raise funds for a college degree. Apart from scholarships, there are a few financing options that can make education affordable and help students pay for tuition fees.

Most expatriate students have no other option to fund their studies on their own apart from family finances. Education loans make it possible to meet requirements of tuition fees and offer new avenues for education finance in the UAE.

Some banks offer personal loan for any purposes while other banks like Abu Dhabi Islamic Bank (ADIB), Abu Dhabi Commercial Bank (ADCB) and Union National Bank (UNB) offer loans specifically designed for education purpose.

What are the features of Education Loans?

Here are some education loans offered by banks in the UAE.

Loan amount: This varies from one bank to another. ADCB offers minimum amount of 10,000 AED while maximum is 150,000 AED. The loan will depend on the parents or students’ eligibility.
Loan Tenure: This is the sanctioned loan amount be repaid, usually for up to 60 months.
Interest Rates: rates vary depending on the bank. The rate depends on the salary of the customer. ADIB has an interest rate of 6.75% while UNB charges 9%.
Processing and early settlement fees: Most banks have fixed https://www.edarabia.com/simple-ways-calculate-percentages/percentage such as processing and early settlement fees.
Minimum Salary: For ADIB, the customer should have minimum salary of 5,000 AED. To be eligible for a UNB loan, minimum salary should be at least 10,000 AED.

What are the benefits of education loan?

Higher studies:By applying for an education loan, customers fulfil their dream of acquiring higher education. Customers can also enrol their children for higher studies.
Financial constraints: Customers can pay for your education despite constraints.An education loan ensures that education of their children is not at risk.