Published on: 2025-06-23T12:34:46+05:30

Zero Interest Loans UAE 2025: Quick Approval Steps

In today’s rising cost of living, many UAE residents are looking for smarter financial solutions.

Whether you're an expat managing personal expenses or a UAE national planning a big purchase, zero interest loans in the UAE offer an attractive option in 2025.

These 0% interest loans allow you to borrow money without paying any finance charges if used correctly.

This guide covers the best zero interest loans in the UAE in 2025, including bank promotions, BNPL apps, and fintech solutions that make borrowing affordable.

 

What are zero interest Personal Loan?

Zero interest loans, also known as interest-free loans, are financing solutions where you repay only the principal amount without any added interest over a specific time period.

In the UAE, these are often offered as:

  • 0% credit card installment plans
  • Buy Now, Pay Later (BNPL) options
  • Salary-based personal loans
  • Government or fintech-supported no-interest loans

These loans are typically used for electronics, travel, education, or even emergency medical expenses.

 

 

Key Features of Zero Interest Loan in UAE 2025

When selecting the best zero interest loan in the UAE, it’s important to evaluate key factors that impact your borrowing experience:

  • Loan Tenure: Most 0% interest loans have short repayment periods, typically between 3 to 12 months, depending on the provider.
  • Eligibility Requirements: Some lenders may require salary transfer, a minimum income level, or an existing relationship with the bank.
  • Required Documentation: Be prepared to provide basic documents such as Emirates ID, salary certificate, and recent bank statements.
  • Penalties & Fees: While interest-free, these loans may carry late payment fees or processing charges, so read the fine print carefully.
  • Loan Amount Limits: Zero-interest loans are usually capped, often ranging between AED 500 to AED 20,000, making them suitable for smaller purchases or emergencies.

Always compare multiple providers to find the loan that best suits your financial situation.

 

Top lenders offers 0% Interest on Personal Loan in UAE

Several UAE lenders like ADIB, DIB, and Al Maryah Community Bank offer 0% interest personal loans through Sharia-compliant Qard Hasan or special promotions.

These loans charge minimal fees instead of interest.

Eligibility of 0% interest personal loan depends on salary, employment stability, and credit score, with some offers requiring salary transfers or limited-time application.

1. Emirates NBD

Emirates NBD offers 0% Easy Payment Plans (EPP) at a wide range of partner stores across the UAE.

Customers can convert large purchases into easy monthly installments without paying any interest.

Categories include electronics, travel, jewelry, home appliances, and more.

The plans are available on Emirates NBD credit cards with tenures of up to 24 months.

The bank also provides quick personal loans with minimal paperwork. Applications can be completed digitally via their app or website, ensuring convenience.

Eligibility Criteria of Easy Payment Plans (EPP) of Emirates NBD :

  • UAE resident
  • Minimum salary: AED 5,000
  • Valid Emirates ID & proof of employment
  • Emirates NBD credit card required for EPP

 

2. Mashreq Bank

Mashreq Bank provides 0% interest installment plans on purchases at partner merchants across categories like electronics, fashion, travel, healthcare, and education.

Tenures range from 3 to 24 months with no hidden fees.

Personal loans are also available with fast digital approval through Mashreq Neo.

The application process is seamless and quick for eligible applicants.

Eligibility Criteria:

  • UAE resident
  • Minimum salary: AED 7,000 (loan), AED 5,000 (credit card)
  • Valid Emirates ID, passport, visa
  • Employment with a listed company

 

3. Abu Dhabi Commercial Bank (ADCB)

ADCB offers 0% Easy Payment Plans through its credit cards at selected partner stores across electronics, education, travel, and healthcare categories.

You can split payments into 3-12 month installments without interest.

Personal loans come with low rates and instant online approvals. Pre-qualified customers can check offers using the ADCB mobile app or website.

Eligibility Criteria:

  • UAE resident
  • Minimum salary: AED 5,000
  • Salary transfer preferred for lower rates
  • Good credit score (650+ AECB)

 

4. HSBC UAE

HSBC provides 0% installment plans on credit card transactions with leading UAE merchants in electronics, travel, lifestyle, and health.

Repayment options go up to 24 months with zero processing fees for a limited time.

Personal loans offer fast-track approval for salary account holders. Applications can be made via the HSBC UAE app or website.

Eligibility Criteria:

  • UAE resident
  • Minimum salary: AED 10,000
  • Valid Emirates ID and income documents
  • Salary account with HSBC preferred

 

5. Sharjah Islamic Bank (SIB)

Sharjah Islamic Bank provides Shariah-compliant “Easy Cash” on credit cards with 0% profit for up to 6 months.

0% installment plans are also available on electronics, education, and healthcare.

All finance products follow Islamic banking principles. Applications are digital and require minimal documentation for quick processing.

Eligibility Criteria:

  • UAE resident
  • Minimum salary: AED 8,000
  • Valid Emirates ID & salary certificate
  • SIB credit card required for Easy Cash

 

6. First Abu Dhabi Bank (FAB)

FAB offers 0% Easy Payment Plans at selected partners across electronics, lifestyle, education, and healthcare.

Payments can be split over 3–24 months with no extra charges.

Personal loans feature fast approvals and better rates for salary-transfer customers.

Applications can be submitted through FAB's online or mobile platforms.

Eligibility Criteria:

  • UAE resident
  • Minimum salary: AED 7,000
  • Valid Emirates ID and visa
  • Salary transfer to FAB preferred

 

7. Dubai Islamic Bank (DIB)

Dubai Islamic Bank offers Shariah-compliant 0% installment plans for purchases across electronics, travel, and healthcare.

These plans are available for up to 12 months without profit charges.

Personal finance is also available with flexible repayment options and fast processing. Applications are done online or via the DIB app.

Eligibility Criteria:

  • UAE resident
  • Minimum salary: AED 5,000
  • Valid Emirates ID & salary documents
  • Employer should comply with Islamic financing principles

 

Eligibility Criteria for Zero-Interest Loans

Even when zero-interest loans are available, there are strict eligibility criteria.

These can vary based on the lender and the type of loan you are applying for. Some common eligibility requirements include:

  • Employment Status: A steady and stable source of income is often required to qualify for any type of personal loan.
  • Salary Level: Many banks or institutions require that you earn a certain minimum salary, which can vary from lender to lender.
  • Loan Amount: Zero-interest loans may only be available for smaller amounts, or in some cases, only for specific purposes (e.g., emergencies or medical bills).
  • Credit History: A strong credit history is essential. Some lenders may not offer zero-interest loans to individuals with poor credit scores.

 

How to Apply for Zero Interest Loan in the UAE

If you believe you meet the requirements for a zero-interest loan, here’s a general process for applying:

Research Lenders:
Start by researching banks, financial institutions, and employers that offer zero-interest loans. 

Check their eligibility criteria, loan terms, and application process.

Prepare Your Documents:
Common documents required include your Emirates ID, residency visa, salary certificate, and bank statements.

If you are applying for a loan through your employer, they may have additional requirements.

Submit an Application:
Once you’ve identified the best loan option, complete the application either online or in person at the financial institution.

Make sure to review the loan terms before submitting your application.

Wait for Approval:
Lenders will typically take a few days to process the application. 

If you meet all requirements, you will be notified of the loan approval and the terms.

Repayment Terms:
Ensure you understand the repayment schedule.

Even though the loan may be interest-free, the amount you owe will still need to be repaid within the stipulated time frame.

 

Advantages of Zero-Interest Loans in UAE

  • Lower Repayment Amount: Without interest, your repayments will be lower compared to traditional loans, making them easier to manage.
  • Financial Relief: If you are facing financial difficulties, a zero-interest loan can provide the necessary support without the added burden of accruing interest.
  • Peace of Mind: Since you aren’t paying interest, you can rest assured that the total amount of your loan won’t increase over time.

Disadvantages of Zero-Interest Loans in UAE

  • Limited Availability: As discussed, zero-interest loans are not widely available, and you may only find them through specific financial institutions, employers, or government schemes.
  • Eligibility Requirements: The criteria for qualifying for a zero-interest loan can be stringent, making it difficult for some people to qualify.
  • Potential Fees: Even if the loan is interest-free, some lenders might charge processing fees or other administrative costs, so be sure to read the fine print before accepting the loan.

 

While the idea of a zero-interest personal loan in the UAE may seem appealing, it is important to understand that they are not as common as traditional personal loans that charge interest.

The best way to take advantage of this option is to explore Islamic personal loans, employer-backed loans, or government schemes (if applicable).

Always do thorough research, check eligibility, and be aware of any additional fees or charges before applying.

If you are looking for a personal loan with favorable terms, consider comparing different lenders and their offerings to find the one that best suits your needs and financial situation.

 

Frequently Asked Questions (FAQs)

1. Can I get a zero-interest personal loan as an expat in the UAE?

While zero-interest personal loans are rare, expats may qualify for loans under specific circumstances, such as through employer-sponsored loans, government-backed schemes (for UAE nationals), or Islamic personal loans.

2. Are Islamic personal loans in the UAE interest-free?

Islamic personal loans follow Shariah law, which prohibits charging interest (riba). While they may not have "interest" in the traditional sense, they may involve profit-sharing or fixed fees instead of interest.

3. What are the eligibility criteria for a zero-interest personal loan in the UAE?

Eligibility criteria vary by lender, but common requirements include a stable income, a minimum salary, a good credit history, and the loan being for a specific purpose such as medical expenses or emergencies.

4. Can I apply for a zero-interest loan online?

Yes, some financial institutions and banks allow you to apply for zero-interest loans online. Make sure to check the lender’s website for their application process and any specific requirements.

5. Are there any fees associated with zero-interest loans?

While the loan may not have interest, some lenders might charge processing fees, application fees, or administrative charges. Be sure to check the terms and conditions carefully.

6. How long can I repay a zero-interest loan in the UAE?

The repayment term for a zero-interest loan depends on the lender’s policy. Typically, it ranges from a few months to a few years, depending on the loan amount and your financial situation.

7. Can I apply for a zero-interest loan with a low credit score?

It may be challenging to qualify for a zero-interest loan with a low credit score. Lenders typically require a strong credit history, so it's important to check your credit score before applying.

8. Do zero-interest loans require collateral in the UAE?

In most cases, zero-interest loans in the UAE do not require collateral. However, certain loan types or high-value loans may require you to provide collateral as security.

9. How can I find the best zero-interest loan options in the UAE?

To find the best zero-interest loan options, you can compare offers from banks, financial institutions, and online lenders. Look for promotions, eligibility criteria, and terms that best fit your needs.

10. Are there any special programs for Emiratis that offer zero-interest loans?

Yes, Emirati citizens are eligible for government-backed loans with low or zero-interest rates, as part of various schemes designed to support them financially. These are typically not available to expats.