Loan Repayment

It's the same for all loans

1% charges .. i did the same but Ahli S***ing us

is it same for car loan also?

They apply the penalty because by repaying your loan early they are not making any more money off the loan (in the form of interest).

yes they do apply a penalty. and i think it's 1 or 2% of the remaining amount without interest.

So basically if you had to pay 100 QR (no interest included) you will end up paying 101 QR.

They apply this penalty because they are not entitled to charge you the interest anymore.

Banks... can't live with them, can't live without them...

I think (when I took a loan from HSBC) you will have to pay a high interest during the first year if you want to clear your loan. After the first year you pay only 1% on the balance amount and get a clearance letter.

But it is always better to check with the customer service at the bank as sometimes rules change and each bank may have their own policy. However, Qatar Central bank Set the rules, so be sure the bank is not ripping you off.

I have an existing personal loan at Doha Bank. I was told I can do an early settlement whenever. I'll have to pay 1% of the remaining principle + remaining principle.

its just because of curiosity.... have read somewhere banks usually charge a penalty for this.. anyhow, visiting next day for sure :) thnx Runner1409.

The procedure is simple but it takes some time. You will go to Ahli and tell them that you want to Repay your loan in full. They will make the paperwork and contact you.

Normally there are no taxes besides the leftover amount you have to pay back.

But this is Qatar... nothing is normal when it comes to banking. So they might charge you... why don't you just give them a call and ask.