How to be Listed Company to the Bank in UAE

Banks in the United Arab Emirates require companies to be on their list of they need to open up a corporate account. Banks, when giving out loans to an employee or a person who works, the banks check if the company of that person is listed with them or not.

Banks in the UAE provide customers with approximately 1,500 financial products. Still, to use any of these products, many requirements must be met, such as minimum wage, residence permit, and one of the main criteria is that the company you work for should be a customer or should be “banked” by the bank.

There were no credit bureaus in the UAE. Before the establishment of this facility by the name Al-Etihad Credit Score Bureau, the banks in the country found it difficult to assess the creditworthiness of its customers. In other parts of the world, the credit bureau was able to tell the bank customer how many different loans there are, whether the customer is in arrears with any of his/her bills, and so on. The bank uses all of this information to assess the risk of lending money to you.

In the UAE, banks must resort to other methods to assess loan risk. One of the standards they use is the sustainability of the company you work for, such as the number of employees, income, and so on.

Often, most large companies will be listed in banks because they are stable and have a credit history relative to small companies. The only way to find out if your employer has been “approved/listed” by any bank in the UAE is to call them.

Banks Approve Steps

Often, most large companies will be listed in banks because they are stable and have a credit history relative to small companies. The only way to find out if your employer has been “approved/listed” by any bank in the UAE is to call them.

Each bank has its way of determining the appearance of the approved company. Currently, banks have a list of recognized companies that have been evaluated and passed over the years. Typically, a bank representative will contact the company to request financial information and assess its stability. Once approved, company employees can apply for loans and credit cards. Approving your loan still depends on your circumstances, but listing the company is one of the main criteria.

 Banks have been trying to increase the list by adding new companies every month. This has affected many UAE residents who are unfortunately unable to obtain loans or credit cards from the banks they choose. However, some banks in the UAE offer loans and credit cards to employees of companies that do not have any bank approval/listing, but salary requirements and rates may vary. Some banks may need more proof of income or have different standards than employees in listed companies. 

An example is the ADIB, which provides auto finance services to employees of non-listed companies, but the minimum wage for applying for the loan is 10,000 dirhams. If you work for a public company, it is 5,000 dirhams.

Opening a Corporate Account 

To open a corporate account in the UAE with a bank following documents are required;

• Certificate of incorporation / License – depending on the company type;
• Information on the business experience of the company owners;
• Reports on corporate structure and ownership.
• Info and documents on the source of funds that would be invested into the company.
• Company memorandum and articles;
• The description of the planned activities of a company;

The company not been listed with a bank, or if the company is non-listed does not mean that its owners and employees can not apply for a loan or credit card. The requirements may vary like the minimum salary requirement may be high, or the rate applied may be higher than that offered to the employees of a listed company.