Every number produced by our calculators traces to a rule listed here. If a figure on this page is wrong or outdated, every tool on the site inherits the error — so this page is the one we maintain most carefully.
Regulatory limits applied
| Rule | Value | Source |
|---|---|---|
| DBR cap | 50% of gross income | CBUAE Circular 29/2011 |
| DBR cap, retirees | 30% of pension | CBUAE Circular 29/2011 |
| Personal loan size | 20× monthly salary | CBUAE Circular 29/2011 |
| Personal loan tenure | 48 months | CBUAE Circular 29/2011 |
| Card limits in DBR | 5% of total limits | Standard bank practice under the regulation |
Formulas
DBR = (monthly loan payments + 5% × total card limits + any new payment) ÷ gross monthly income.
Headroom = 50% × gross income − current obligations.
Maximum loan (reducing balance): P = EMI × ((1+r)n − 1) ÷ (r × (1+r)n), where r is the monthly rate and n the tenure in months. The result is capped at 20× salary for personal loans.
Known limitations
- Banks apply additional criteria inside the regulatory caps — minimum salary, employer listing, AECB score — which our tools cannot see. Results are capacity estimates, not approvals.
- Some banks use flat-rate quotes; our loan tool assumes reducing-balance. Ask your bank for the reducing-balance equivalent when comparing.
- Rules change. Each page carries a last-reviewed date, and figures are re-verified against CBUAE publications when regulations are amended.