Loans, for example, gold loans, personal loans, etc. have the lowest interest rate compare with the finance charges of credit cards. Specialists state that one can take a new loan at lower interest rates. Consider home loan top up, personal loans or gold loan that comes with lower rates for a more extended period.

However, credit cards demand charges going between 36 percent to 48 percent, while interest on personal ranges from 11 percent to 24 percent. Notwithstanding, the interest rate depends upon the borrower's monthly income and credit score, among other eligibility criteria. With lower interest rates, personal loans come with tenure that goes as long as five years, reducing the financial strain on the borrower. A loan interest calculator will assist you in identifying your eligibility and interest rate for personal loans. The private money lenders in Dubai will always assist you in selecting the best personal loan as per your requirement.

Due to a low CIBIL score (because of your credit card dues), there are chances that you not eligible for availing a personal loan. In that case, you can opt for secured loans like loans against securities or a gold loan as their interest rates are much lower than the charges of credit cards.

Many benefits exist to utilize a personal loan to pay off your credit card debt. Even though not all are useful to all close to the personal loan applicants, people in UAE with an excellent financial standing can have these advantages:

One Time Payment Only: When you have many credit cards, in this case, with a single personal loan, you can pay all debt with one payment. So it gets easy for you to deal with the repayment process and ensure that your instalments are made on schedule.

Low-Interest Rate: The rates of interest charged on personal loans in UAE are indeed below the interest charged on the credit card. So if you have a good CIBIL score in UAE, at that point, by taking care of your high-interest credit card with a personal loan, you could save a lot of money.

Less Utilization of Credit: When your credit card's total credit limit is more, and you have a less outstanding balance. It results in low credit usage, which eventually levels up your credit score, making you quickly qualified for future loans.

To get expert advice on the clearing debt of credit cards by availing of personal loans, you should get in touch with MoneyDila. It is the leading private lender in Dubai that offers low-interest rates compared to other lenders in the market.