An Overview of the Low Interest Credit Cards in the UAE

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Low interest credit cards

There are numerous banks that operate in the United Arab Emirates, more so than almost any other place in the world. This is because UAE is one of the fastest growing economies in the world and in terms of spending power ranks number one.

This is a primary reason why banks offer a host of credit cards to the people. There are many low interest Credit cards in UAE. Choosing one that suits your needs is something that requires a more thorough understanding.

A credit card is an electronic card issued to a user who can utilize it to make payments to merchants, regardless of the balance of the card. It works as a revolving account, where the bank offers the payment as an advance of sorts.

This means that a person can spend up to a certain credit limit without worrying about the payment. The bank also allows the payment to be given back after some time and does not necessarily needs to be the full amount.

These can be something as minor as the type of rewards system that the card gives. This can be a cash back offer or an air miles system or even a points system.

Other factors can be extremely crucial, such as the interest rate which is applicable each month. Of all the other factors this is the most important one, as one need to be aware of their spending and the interest incurred.

The rate is usually somewhere between 1-3% and in some cases can be over 3%. The usage of the card is dependent on the person and as time passes, the interest rate can be a bit problematic.

Of all the offerings out there, one must be aware of the cards and banks which offer the least interest on their cards. Here is a list of some of the best ones on offer, whose rates are low and the cards come with a ton of benefits:

Low Interest Credit Cards Minimum Salary  Major Benefits
 

CBD World Master Card

 

AED 100000

 

Lowest Interest Rate of 1.5%, air miles, travel packages, 24hr services, access to airport lounges worldwide, free travel insurance, visa fast-tracked.

 

AMEX The American Express Gold Card

 

AED 23000

 

No pre-set spending limit, interest rate is 0, lot of rewards.

 

Dubai Islamic Bank Johra Gold Premium Credit Card

 

AED 5000

 

1.95% interest rate, no annual fee, cashback offers, can withdraw 80% of the credit limit in cash.

CBD World Master Card: A super premium offering from the Commercial Bank of Dubai, this card is meant for the elite. With a minimum salary requirement of 100000 AED, it is reserved for those who can afford a life of luxury.

This card also offers one of the lowest rates, of just 1.5%. This speaks volumes about the usefulness of such a card.

There are more features, such as air miles, travel packages, 24hr services and a very high spending limit and exclusive access to airport lounges worldwide.

One also gets a free insurance whenever one purchases tickets using this card. A special service is that a holder of this card can get their visa fast-tracked; countries such as UK, Australia and others.

Apply for CBD World Master Credit card

AMEX The American Express Gold Card: A premium card whose, minimum salary requirement is a hefty 23000 AED. This card from American Express offers a suite of features, which are unmatched by other cards.

This card is a charge card, which means there is no pre-set spending limit and the most astounding feature is that the interest rate on this card is zero. The spending allows the user to repay the amount in whatever form they can. One can also get a lot of rewards including flights and upgrades.

The only downsides would be the international rate of 2.8% and an annual fee of 600 AED. Considering all the factors this is the most ideal card one can get their hands on. The benefits of this card far outweigh the disadvantages.

Dubai Islamic Bank Johra Gold Premium Credit Card: A card which has one of the lowest rates on offer of just 1.95% interest. There is no annual fee on the card and it comes with a lot of cashback offers. One can also withdraw 80% of the credit limit as a cash advance.

The salary requirement of the card is also quite low at just 5000 AED. For every purchase, 1% can be used to put to redeem flights and hotel bookings. The only drawback would be that the repayment period is just 20 days. With the low rates, however, this is not much of a problem.

A credit card can be a great tool, one can use it to aid in simple financial situations and it can also be of help when one is in a sticky scenario. The UAE has many banks, which offer credit cards, so it is important that one find a suitable system and use the card only based on needs.

All one needs to do is keep in mind the importance of not falling into a debt trap; other than that a wise use of credit cards is always of great advantage. In a place like the UAE, its importance is rather understated.

Find other Low interest Credit cards in UAE

Read also: Best Credit cards offers in UAE

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