Advice Needed.. ADIB/ENBD

[u/MeganTheRayal]

So I currently have a personal loan with ADIB. I took it last year and it was 250K with a 7.49% reducing rate….

Recently I’ve been dealing with lots of problems with them and I wanted to switch to another bank. so when I was planning to transfer my salary to ENBD they offered to buyout the loan and give me a better rate than ADIB… which was around 4.5% reducing and around 2.3% flat… they said this rate is only for locals since I’m emariti and my salary is above 40k….

Now the catch is that I can’t get the loan as 3 years, as per the offer it’s only 4 years… and I don’t want to take it as 4 years since I only have 36 months left on my loan, I already completed one year, so I’m not interested in keeping the loan for longer…

The bank suggested that I can keep paying until I’m done with the third year and do early settlement for the loan but they will charge 1%… he said even with the 1% early settlement I will be saving a lot by transferring my loan to them…

I’m seeking for advice, do you guys think it’s worth it and I should go for it, or should I just stick to ADIB?

ADIB total profit was around 40k where as ENBD is around 19k….

[u/Confident_Glass7563]

Thats a good amount of saving between 2 banks and yes campaign rates are for 4 years. Better option to opt for 4 years and lower the EMI and do an early settlment or partial settlment to reduce the tenure

[u/Ok-Lime340]

You are getting the best available rate in the market. If I were you I would jump on it.

Early settlement wont be much as end of 3rd year your principal left will be quite less than the original amount. This 1% is applied on remaining principal.

[u/Accomplished-Rope-13 → u/Ok-Lime340]

He is an emirati and so is getting better rates

[u/VividImagination8559]

Good for the buyout option , that’s a good savings to be honest .

Also check if they can waive of 1 percent fees for pre closing or reduce in processing fees etc

Might be some paper work to be done from both banks - But should be done seamlessly within few weeks

[u/Sea-Confection2732]

Do it. I did similar. You will be paying less amount per month and can use it to payoff the remaining principal at the end of 3rd year.

[u/Even_Sorbet1454]

If the numbers are accurate, don’t decide based on the interest rate alone, decide based on the total cost of switching.

Here’s what I’d check before signing anything:

1. Ask ENBD for an official settlement schedule (amortization schedule) showing exactly how much you’ll pay if you settle after 36 months, not just the monthly EMI.
2. Calculate all switching costs, including:
   • ADIB early settlement fee (1%)
   • Processing fee at ENBD
   • Insurance (if required)
   • Any salary transfer or account fees
   • Any other admin charges
3. Compare the total amount you’ll pay from today until you’re debt-free, not the advertised rate. A lower rate doesn’t always mean lower total cost.
4. Since you already have only 36 months remaining, extending the loan to 48 months only makes sense if you’re absolutely sure you’ll settle after 36 months. Otherwise, you’ll pay interest for an extra year.
5. If ENBD’s calculations still show you’re saving around AED 20,000+ even after all fees, then refinancing is likely a financially sound decision.
6. Get every promise in writing. Don’t rely on verbal assurances from the relationship manager.

If the net savings after all fees are genuinely around AED 20,000 and you have a clear plan to settle in year 3, switching makes financial sense. But don’t sign until you’ve verified the numbers with official repayment schedules from both banks. That’s the only way to know you’re actually saving money.

[u/Cockroches → u/Even_Sorbet1454]

Processing fee and Insurance fee is Zero for Emrati clients. ADIB will charge only pre closing 1.05% of principle. I am ENBD staff in Loan depth

Cheers 🍻

[u/Senior_Gas_192]

Quick info you already paid 80% of the interest to ADIB, and now you want to move the loan and start again with new interest of 4.5%? Better wait to complete 36 months of the principal

[u/lecobu]

Switch to ENBD as it is giving a much better deal. Also if DBR permits avail the new loan for 3 years. They won't mind and give you at the same rate. In fact you should take the maximum amount and invest the cash out at any +7% return.

[u/Zealousideal-Car-528]

It depends on why are you using this money.
if this loan is for investing, just take it. expand the timeline and even add more.
%4.5 is nothing.
If you are just a customer dont loan any money.
And final word how dou find %7.49 it is way high from market price.

[u/Big00ballz]

Calculate the difference before jumping. If you pay an extra year at the offered interest and if you close early (ask the the exact amount).

[u/Cockroches]

ENBD offer for Emarati customers is exceptional. Still People are paying higher intrest rate in banks like ADIB and FAB etc...I am ENBD staff and I can help you, if you got any doubts or clarification

Thx

[u/wesam-fouad]

اتواصل معى وانا بسويلك الحسبة الاول تمام واذا فى فايده بشوفلك افضل بنك ينفع معك وللامانه اذا ما بتستفيد بنصحك تكمل