Central Bank of the UAE scheme for retail residential mortgage loans
Warning
- If you do not keep up your repayments/payments, you may lose your property
- You may have to pay penalties if you pay off a loan/financing early
- Refinancing your loans/financing may take longer to pay off than your previous loan/financing and may result in paying more in interest/profit
- If you do not meet the repayments/payments on your loan/financing, your account will go into arrears. This may affect your credit rating, which may limit your ability to access financing in the future
The Central Bank of the UAE has implemented measures to help to alleviate the impact of increased interest rates on residential mortgages (non-investment properties) for qualifying UAE Nationals.
The measures cover
- Mortgage with increased debt-burden ratios (DBRs) where banks have not postponed any of the interest until after the payment (non-balloon payment)
- Mortgage with non-increased DBRs where banks have postponed the interest incurred as a result of the higher interest rates (balloon payment)
Eligibility Criteria
- Existing residential scheme mortgage loan/facility booked before 1 July 2023
- No additional material loans provided by other parties after the origination of the mortgage loan
- Applicable only to floating rate mortgage
- Customer experiencing repayment difficulties
Grace Period
Not applicable
EMI Deferral
Not allowed
Restructuring Fees
None
Additional Loan after Restructuring
No additional loan/finance facility or credit will be available to the customer until the loan/facility is paid in full.
Consent
The customer’s written consent is required.
Conditions apply.
