Individuals intending to travel to the United Arab Emirates (UAE) from 13 countries across the globe are required to enhance their credit ratings in their respective countries before their arrival in the UAE, with a particular emphasis on the preceding 24 months.
Residents who have not resided in the UAE for a period exceeding three years are designated as eligible beneficiaries of this initiative. Local lenders within the UAE may utilise the credit report service from the resident’s home country with the objective of enhancing their creditworthiness within the UAE.
The following countries are responsible for the supply of credit reports to the Etihad Credit Bureau in the UAE for individuals originating from these nations: the United Kingdom, India, Switzerland, Germany, Spain, Austria, Australia, Ukraine, Mexico, South Korea, the Philippines, Kenya and the Dominican Republic. The list comprises thirteen countries in total.
The Etihad Credit Bureau website states, “Local lending institutions in the UAE have the option of utilising the credit reports of individuals arriving from their home countries, particularly for new residents (less than three years), by leveraging the credit report service from other nations to enhance the creditworthiness of this category.”
It adds, “The credit report from other countries facilitates the conversion of foreign credit reports into a format that is valid for use within the UAE, thereby assisting local lenders in their evaluation of individuals’ credit applications.”
Advantages and Importance
The Etihad Credit Bureau has identified a number of advantages for individuals seeking loans or financing in the UAE, as well as for those seeking credit reports from outside the country. These advantages include a greater likelihood of approval of credit applications, the ability to obtain personal loans, real estate loans, credit cards or mobile phone packages more quickly, access to lower interest rates, and the potential to benefit from lower installments for loans and financing for individuals.
The Etihad Credit Bureau has confirmed that it has a partnership with more than 13 countries, through which it is able to provide local lenders with their credit reports via the “Nova Credit” system. The Etihad has also stressed that it is working to add more countries in the future.
Furthermore, it has asserted that when a customer applies for credit, it can facilitate the provision of their credit reports from their home country to lenders.
It stated that when applying for financing or any financial transaction, the lending entity will request that you provide it with a credit report from another country for the customer. The credit assessment is issued from another country for credit transactions that took place within the last 24 months only.
It was highlighted that the customer’s consent will be sought prior to accessing his/her credit report from the country in which he/she previously resided. The lending entity will utilise the credit report from another nation.
The Etihad Credit Bureau confirmed that the customer’s external credit report will be shared with the lending entity, subsequent to verification and the completion of the transaction.
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