If you’re still not convinced about credit scoring in the UAE, you should know that Emirates NBD, Dubai’s biggest bank, has just announced that it will refer to Al Etihad Credit Bureau (AECB) for loan and credit card applications.
Last month, AECB officially announced that it had introduced the Consumer Retail Banking Score – credit scoring to you and me. It’s essentially a score ranging from 300 to 900 that takes your financial history into account to determine how risky you are as a borrower. A higher score is attained by keeping on top of debt payments, meaning you’re not risky to lend to. A lower score denotes a greater level of risk.
Emirates NBD says that it is the first bank in the UAE to use credit scoring to determine on the outcome of applications for its loans and credit cards.
“We are delighted to be the first bank in the UAE to link our interest rates and eligibility on loans and credit card limits to the AECB Consumer Retail Credit Bureau Score,” said Suvo Sarkar, senior executive vice president and group head – Retail Banking and Wealth Management, Emirates NBD.
“Credit scoring is a tested risk assessment tool, in line with international best practice and this initiative will bring greater transparency and efficiency in the way money is borrowed in the UAE.”
So if you’re looking to apply for a credit card or loan from Emirates NBD, be aware that your credit history will now be taken into account.
Do you have a healthy credit score? You may be eligible for better financial products! Click the button below to compare the best credit cards from the UAE’s leading banks!I want better financial products!