All Qatari banks increase interest rates for personal and car loans marginally

All those who are planning to take a personal or car loan from Qatari banks, please note that interest rates have gone up marginally from the beginning of the year.

Loans have become a bit more expensive, with most banks hiking interest rates by 0.25%, reported Qatar Tribune.

The move comes on the back of Qatar Central Bank’s (QCB) decision to raise policy rates by 25 basis points on December 15, 2016.

The QCB’s overnight lending rate rose to 4.75% and deposit rate rose to 1% with immediate effect.

Accordingly, most banks have also re-priced their existing loans. What it means is that customers will now have to pay a slightly higher equated monthly instalment (EMI) to repay their loans.

Doha Bank informed its existing and new loan holders that interest on personal loans would be raised by 0.25% starting January 2, 2017. In effect, interest on personal loans on reducing rate has risen up to 6%.

Doha-based Ahli Bank also announced on its website that interest rate on personal and auto loans for both Qataris and expatriates have increased by 0.25%.

Qatar National Bank has also raised interest on personal and car loans by 0.25%.

Interest on personal loans, including insurance, has been raised from 5.5% to 5.75% for expatriates. For Qataris, interest on personal loans has increased from 4.5% to 4.75%.

Interest rate on personal loans from Commercial Bank of Qatar has increased from 6% to 6.25%.

Qatar Islamic Bank and most others listed on Qatar Stock Exchange also revealed that they have raised interest on various kinds of loans.

Have you noticed a change in your EMI amounts?