Secured credit cards in the UAE: cards backed by a deposit

A secured credit card is a card backed by money you leave with the bank as security. In the UAE, the Central Bank allows a card for someone earning under AED 60,000 a year only against a pledged deposit of at least AED 60,000. Other deposit terms, such as the card limit, are each bank’s own policy.

Key takeaways

• A secured card is an ordinary credit card with your own deposit held by the bank as security.
• Below the AED 60,000 income floor, the Central Bank rule requires a pledged deposit of at least AED 60,000.
• Where a card limit and another facility share one deposit, together they may not exceed 50% of it.
• Interest, fees and deposit release terms are set by each bank, so read the Key Facts Statement first.
• A deposit does not remove the need to repay: the card still appears in your credit report.

What a secured credit card is

A secured card works like any other credit card: you have a limit, a monthly statement and a due date. The difference is that you first place money with the bank as a pledged deposit, your own money, which the bank holds as security for what you owe on the card.

The idea attracts people with a thin or empty credit record, such as new arrivals, because the bank has security in hand. It is not a separate product class in the Central Bank rules we read: the rule speaks of cards issued against a pledged deposit, and the detail beyond that is bank policy. If you are new to the country, read how to build a credit history as a new resident alongside this guide.

What the Central Bank rule says

Article 5 of Regulation No. 29/2011 sets the income floor for credit cards and the deposit route below it. As recorded in our minimum salary guide on 13 October 2026:

Pledged deposit for a card below the income floor

AED 60,000

A person with an annual income below AED 60,000 can get a credit card only against a pledged deposit of at least AED 60,000.

The rule also covers what else a bank may lend against the same deposit.

Card and other credit against a deposit

50% of the deposit

A person below the AED 60,000 income floor who gets a credit card against a pledged deposit may also be given another credit facility, provided the card limit and that facility together do not exceed 50% of the pledged deposit.

The same clarification says banks may encourage people who are not eligible for a credit card to use debit cards instead. A debit card spends your own balance directly; a secured card gives you a credit limit and a repayment obligation, with your deposit behind it.

What the rule does not say

The pages we read do not say how large a card limit may be against a given deposit when the card is the only facility, how a bank must treat a deposit when you meet the income floor, or when a deposit must be released. We have not seen an official page that answers these, so they are left to each bank’s terms. We do not list or rank banks that offer secured cards.

How the deposit works

The bank holds your deposit for as long as the card is open. Emirates NBD’s card eligibility page, read on 13 October 2026, shows deposits turning up in another way: for self-employed applicants it mentions a possible fixed deposit with the bank, held at the minimum deposit required for the card. That is one bank’s condition for one group of applicants, not a market rule.

Points that vary by bank, and that you should have in writing before you pledge money:

• the size of the deposit and the card limit it supports
• whether the deposit is a fixed deposit, a savings balance or another type of account
• whether the deposit earns anything while it is pledged
• what happens to the deposit if you miss payments
• when and how the deposit is released after you close the card

The Consumer Protection Standards require a bank to give you the key terms of a product in a clear form before you commit. For a card, that is the Key Facts Statement: see how to read a Key Facts Statement.

A worked example with a AED 60,000 deposit

Worked example

AED 60,000 pledged deposit, a card and another facility

The amounts are illustrations, not offers. The 50% ceiling is the Central Bank rule above; your bank’s own limit may be lower.

1. Pledged deposit: AED 60,000, the Central Bank minimum for someone below the income floor.
2. Ceiling for the card limit plus any other facility: AED 60,000 × 50% = AED 30,000.
3. Suppose the card limit is AED 20,000 and a second facility is AED 10,000: AED 20,000 + AED 10,000 = AED 30,000. This is at the ceiling, not over it.
4. A second facility of AED 12,000 would take the total to AED 32,000, above AED 30,000, so the rule would not allow it.
5. In the bureau’s Income Utilisation Ratio, 5% of each active card limit counts as a monthly payment: AED 20,000 × 5% = AED 1,000 a month for this card.

On these figures, AED 60,000 is held as security and the card plus another facility is capped at AED 30,000.

Costs and risks

A deposit does not make the card free to use. Interest, annual fees and other charges are set by the bank within the Central Bank’s rules, and they apply as they would on any card; see credit card interest and fees for how they work. Pay the full statement balance by the due date and the bank may not charge interest on it, except on cash advances.

The risks are mainly about your own money:

• Your savings are tied up. While AED 60,000 is pledged, you cannot treat it as available cash. Compare that against what you would otherwise do with the money.
• Missed payments still have a cost. The Central Bank caps the credit card late payment fee at AED 230 before VAT. With VAT at 5%, that is AED 230 + AED 11.50 = AED 241.50 as a maximum fee, and interest can follow on an unpaid balance.
• The deposit may be used. What a bank can do with the pledged money if you stop paying is set out in its own terms. Read that clause before you sign.
• Cheques. Banks may not take blank cheques for credit cards, and for any completed cheque the bank must give you a stamped photocopy as proof it holds it.

The effect on your credit report

Your Etihad Credit Bureau (AECB) report shows card limits, usage and payment history across lenders. A secured card therefore appears there like other cards, and a high balance against the limit or late payments will show. We found no official page saying that a deposit-backed card is scored differently, and no outcome is promised. Applying for several cards in a short time is also a score factor, so check your AECB report first.

Questions to ask the bank

Because the details are bank policy, ask for answers in writing:

1. What deposit is needed, and what card limit does it support?
2. Is the deposit pledged for the life of the card, or can part be released?
3. What are the annual fee, the interest rate and any other charges, as shown in the Key Facts Statement?
4. Does the card or any offer need a salary transfer, a security cheque or other conditions?
5. How is the deposit treated if a payment is missed, and what notice do I get first?
6. How and when is the deposit released when I close the card?

Closing the card and the deposit

Closing a secured card is the point where the deposit is released, so it needs care. Clear every balance, including recent transactions and fees, and ask the bank in writing to close the account and release the pledge. Keep the written confirmation. Our guide to the cancellation clearance letter explains what to ask for and what to keep.

If the bank turns down an application, ask for the reason: it must give one unless it relates to financial crime compliance or the law prohibits disclosing it. More topics are in our credit card guides, and you can read how we work on the about page.