Buying a car is a process that takes careful consideration and perhaps even some homework. Using up savings to purchase a car is an option, however, those who are experiencing a shortfall can apply for a car loan to make up the difference. National Bank of Abu Dhabi Car Loans provides customers with a few added extras as well. This review takes a look at the product offerings to see how they measure up against some of the best product ranges in the world.
Read here to have a look at the mortgage options offered by National Bank of Abu Dhabi.
About National Bank of Abu Dhabi
Although considered a new player in the banking world, National Bank of Abu doesn’t allow the moss to grow where they stand. The bank was established in 1968 and has since grown in leaps and bounds. The growth is despite the bank’s conservative approach to investment. A boost in stock exposure and the expansion to Egypt allowed the bank to further its market share. The bank is known for its safety and occupies a spot on the World’s 50 safest Banks by Global Finance list. It is also considered the safest bank in the Middle East.
Read here for the full review on National Bank of Abu Dhabi.
How To Find the Best Auto Loan Deal
Although there are advantages to signing up for finance with an existing institution, there could be more attractive products out there.
It goes without saying that the bank will offer a rate as high as they can without upsetting their client. This can lead to the bank becoming a little complacent where pricing is concerned. In order for customers to benefit from the best rate, it is in their interest to ask for a better one if the quoted rate is too high. Furthermore, if the bank is unwilling to reconsider and customers can get a better rate elsewhere, it’s important to look at the full contract before just signing up.
Monthly and Initiation Fees
Many banks across the world charge an initiation fee or document setup fee at the onset of the loan. They may also charge monthly service fees. These tend to make a difference and when these fees are high, it can reduce the benefit of having a low interest rate. Customers should consider this when they sign up for finance and not just depend on the rate for a final decision.
Many institutions offer customers special advantages or discounts on other products. However, before signing up customers should consider whether they will use these other products. Some also offer benefits and special pricing, or even rewards and discounts. Customers should consider all things before merely just sticking to the same institution for the sake of loyalty, especially if that loyalty is not rewarded.
Flexibility in Repayment Options
It’s important that customers have access to repayment options that will suit their budget. Not all terms are suitable for all clients, however, the majority enjoy a term period between 24 and 60 months. Financial institutions that are inflexible here, don’t consider the needs of their clients. Also, customers should have the option to repay their loan before the term is through without paying penalties. This should be for loans under a certain amount at the very least.
Although a deposit may seem unaffordable, it allows customers to have a smaller installment. Furthermore, a deposit allows customers to have a smaller installment and they will also pay less over the term of the agreement. Going with an institution that offers a higher loan amount with a small deposit is not always in the customer’s best interest.
There are customers who wish to benefit from a lower rate now and carry the risk of it increasing when the markets change. For them, the variable rate is a good option. For others who don’t want their payments to fluctuate and prefer paying the same installment over the entire term, a fixed rate is better. Customers who prefer one or the other should find out whether their rate is available. It is also important that customers compare these rates across to board to ensure they’re getting the best deal.
National Bank of Abu Dhabi Car Loans Product Offerings
NBAD Etihad Guest Car Loan
Customers who prefer to have a little more from their finance will find this to be a great fit.
- The loan provides customers with 350 miles for every AED 20,000 loan amount.
- Furthermore, customers enjoy competitive low interest rates on their finance.
- The financing is available for most passenger vehicles.
- Also, the financing is suitable for salaried and self-employed applicants.
- Elite Gold customers enjoy the benefit of having their processing fees on new car loans reduced by 50%
- Finally, customers enjoy 100% financing of their car insurance as well.
Car Loan Salary Transfer
This loan is suitable for those who prefer simplicity and the convenience of a salary transfer.
- Customers who sign up for this type of loan have the benefit of accessing loan amounts of up to AED 1.5 million.
- Furthermore, the LTV on the loan is up to 80%. This means customers are required to put down a deposit of at least 20%.
- This loan is exclusive to customers who have their salary transferred to an NBAD account.
- 100% Financing of car insurance is available.
- Finally, Elite Gold customers enjoy the benefit of having their processing fees on new car loans reduced by 50%.
Car Loan for Self Employed
Customers who are self-employed have the chance to drive the car of their dreams. Also, this loan offers a lower loan amount than the others, however, is still very generous.
- The loan offers competitive interest rates.
- Furthermore, customers can apply for loan amounts of up to AED 500,000 and up to 80% of the car value.
- 100% financing of car insurance is available.
- Finally, Elite Gold customers enjoy a 50% discount on processing fees for new car loans.
What We Like About National Bank of Abu Dhabi Car Loans
Car loans tend to be a bit boring and one loan suits all needs. The range offered by National Bank of Abu Dhabi, however, provide customers with far more options. The loans are packed with great benefits and customers have the opportunity to drive off in style as their loans are processed in a fast and efficient environment.
Furthermore, those who qualify for the higher loan amounts can rest assured that they have the opportunity to purchase their dream cars. Generous loan amounts of up to AED 1.5 million on some of the products provide customers with the means to travel in only the best.
Finally, the requirement of putting down a deposit of at least 20% is a good aspect of these loans, as it forces customers to commit to the finance. Furthermore, the finance works out cheaper over the term and customers also benefit from a smaller installment.
Read here for a review done on the loans offered by National Bank of Abu Dhabi.
What We Don’t Like About National Bank of Abu Dhabi Car Loans
There is no mention of the bank offering finance for other modes of transport that will undoubtedly serve their customers well. Although the finance may cover it, customers will have to do a bit of research in order to find out. These include motorcycles, boats, yachts, jetskis, and more.
Also, those who require the funds of the deposit for other uses will find the minimum deposit amount hard to swallow. This could force them to take out further finance to fund the deposit, which puts them under significant pressure.
Critical Reviews Rating National Bank of Abu Dhabi Car Loans – 9 of 10
National Bank of Abu Dhabi Car Loans pull out all the stops and provide customers with deals they will struggle to find elsewhere. The finance is carefully structured to provide customers with the right package over the chosen period. Also, customers know that the rates are competitive.
Furthermore, the bank’s partnership with Etihad provides them with the opportunity to offer a rare product to the market. Very few other banks across the world provide customers with the means to qualify for additional benefits merely by taking out finance. Especially benefits that come from the Etihad group.
This may seem like a negative to many, however, the fact that the bank imposes a minimum deposit of 20% has many benefits. Firstly, customers need to save up for this deposit and will then need to part with it, which means they will carefully consider the finance and not merely undergo it on a whim. It allows them to be more vested in the deal.
Finally, the only improvement the bank can make to a very impressive product line is by adding some information on additional assets. These are the boats, jetskis, and other luxury items that customers may want to finance. If this is currently an offering at the bank, perhaps make it a little easier to find in order for customers to keep all their products in-house.
A bank that is a strong contender for the top position in car loans, is Standard Bank. Read the review here.