With banks extending credit cards and financing options to support the high standard of living in the UAE, it is very easy to find yourself deep in debt. Often when people take stock of their debt they sign up for an extra credit card that promises to give them a temporary relief. While balance transfer credit cards are a promising solution, there are other banking products that can be equally effective. The most of prominent of which are debt consolidation services; offered by most leading banking institutions.
Whether you have a car loan, or a personal loan, or an overdraft payment or a mortgage or to many credit cards or a combination of debts, most banks in the UAE are offering debt consolidation services to you. Via the help of such services the bank helps you tabulate all your debts together and extends a loan your way for a small tenure to repay most of the pending amount and stabilize your finances. Many banks like to refer to such a process as refinancing or even liability settlement.
What happens when you avail a debt consolidation service is that instead of various monthly payments, one payment is made for all your debts on your behalf. This systematic repayment option is what is attracting many customers to avail such services. People also opt for this hassle free method of debt repayment because of the low interest rates that banks charge when compared to the interest rates of credit cards and other personal loans.
Popular debt consolidation services such as the ADIB Al Khair Debt Assist for Expats are gaining popularity. Banks including CBD, Mashreq and NBAD also offer similar debt consolidation services. Visit us at Dubai Finance to find the right option that best suits your needs.
Another thing that you should remember is that you should only calculate your savings once you take into account all your debt repayment liabilities. Plan your finances smartly and release yourself from debt.
Find a range of debt consolidation loans (here) and find the right one for you.