Emirates NBD has launched a new auto loan variant in the UAE market that is linked to a fixed deposit – reported AME Info. As a result, customers can now save on their car’s depreciation cost by converting their down payment into a profitable fixed deposit, thus transforming a depreciating car into a return yielding asset.
The bank has said that auto loan applicants will be able to enjoy up to 100% funding along with the benefit of getting the down payment back with the accumulated interest at the end of the tenure.
Reportedly, Emirates NBD customers are also expected to get the benefits of the “Feature Packed Auto Loans” to enhance their overall ownership experience through benefits such as Free Salik card, free credit card for the first year, facilities for Salik recharging and online fine payment, free annual registration renewal, and a 24/7 on-road service assistance.
Suvo Sarkar, EVP & GM of retail banking at Emirates NBD, said: “Emirates NBD has always pioneered the development of new product variants that cater to all segments of its diverse customer base. We are confident about the success of the newly introduced “Fixed Deposit linked Auto Loan” and with its launch we have entered into a new dimension of dual functionality & benefits that clearly sets us apart from other banking institutions. This product will be popular with customers who understand the value of savings by making smart choices!”
Vikram Krishna, head of retail loans at Emirates NBD, said: “This uniquely conceptualized product revolves around the fact that a car as an asset looses value over time and this product variant allows us to reduce that loss, thereby saving for our the customers. This market has grown accustomed to 100% funding and down payments have been an expense that is incurred by the customer. With this product, the expense for the customer is converted into an investment and customers end up saving over 8.5% of the loan amount under this unique bundled offer.”
