1. What is the ADCB Personal Loan Eligibility Calculator?

The ADCB Personal Loan Eligibility Calculator helps determine how much you can borrow based on your monthly payment capacity, interest rate, and loan term. It uses the present value of an annuity formula to calculate the maximum loan amount you're eligible for.

2. How Does the Calculator Work?

The calculator uses the present value of annuity formula:

Where:

• \( P \) — Eligible loan amount (AED)
• \( PMT \) — Monthly payment you can afford (AED)
• \( r \) — Monthly interest rate (as decimal)
• \( n \) — Number of monthly payments (loan term in months)

Explanation: The formula calculates the present value of a series of future payments (annuity) at a given interest rate.

3. Importance of Loan Eligibility Calculation

Details: Knowing your eligible loan amount helps in financial planning and ensures you don't over-borrow. It also helps compare different loan offers.

4. Using the Calculator

Tips:

• Enter your comfortable monthly payment amount in AED
• Use the monthly interest rate (annual rate ÷ 12)
• Enter loan term in months (e.g., 24 for 2 years)
• All values must be positive numbers

5. Frequently Asked Questions (FAQ)

Q1: How accurate is this calculator?
A: This provides an estimate based on the formula. Actual eligibility may vary based on bank policies and your credit profile.

Q2: What's a typical interest rate for ADCB personal loans?
A: Rates vary but typically range from 5% to 20% annually depending on loan type and customer profile.

Q3: Does this include processing fees?
A: No, this calculation doesn't account for any processing fees or other charges that may apply.

Q4: What's the maximum loan term available?
A: ADCB typically offers personal loans with terms up to 48 months (4 years).

Q5: Can I prepay my loan?
A: Most ADCB personal loans allow prepayment, sometimes with a fee. Check specific terms before applying.