1. What is FAB Personal Loan EMI?

The Equated Monthly Installment (EMI) is the fixed payment amount a borrower makes to First Abu Dhabi Bank (FAB) each month to repay their personal loan. It includes both principal and interest components.

2. How Does the Calculator Work?

The calculator uses the standard EMI formula:

Where:

• \( P \) — Principal loan amount (AED)
• \( r \) — Monthly interest rate (annual rate divided by 12 months)
• \( n \) — Loan term in months
• \( PMT \) — Monthly EMI payment (AED)

Explanation: The formula calculates the fixed monthly payment that will completely pay off the loan over its term, accounting for compound interest.

3. Importance of EMI Calculation

Details: Calculating EMI helps borrowers understand their repayment obligations, plan their finances, and compare different loan options before committing to a personal loan.

4. Using the Calculator

Tips: Enter the loan amount in AED, annual interest rate (as offered by FAB), and loan term in years. The calculator will show the monthly EMI, total repayment amount, and total interest payable.

5. Frequently Asked Questions (FAQ)

Q1: What factors affect my FAB personal loan EMI?
A: The EMI depends on loan amount, interest rate, and loan term. Higher amounts/rates increase EMI, while longer terms reduce EMI but increase total interest.

Q2: How does FAB determine interest rates?
A: FAB considers your credit score, income, employment history, and loan amount when determining your personal loan interest rate.

Q3: Can I prepay my FAB personal loan?
A: Yes, but early settlement fees may apply. Check FAB's current policy as prepayment terms may change.

Q4: Are there other charges besides interest?
A: FAB may charge processing fees, late payment fees, and early settlement fees. These are not included in EMI calculations.

Q5: How accurate is this calculator?
A: This provides a close estimate, but actual EMI may vary slightly due to rounding or specific bank policies. Always confirm with FAB.