Wio Business Line of Credit: User Guide & FAQs

Overview

The Wio Business Line of Credit is a flexible, revolving credit facility designed for businesses that accept payments through Point of Sale (POS) merchant terminals (such as Magnati or Network International).

Instead of receiving a fixed loan upfront, you are given a 1-year revolving credit limit (from AED 10,000 up to AED 250,000). You can draw funds whenever you need them, and interest is charged only on the amount you use and for the exact number of days you use it. As you make repayments, your available credit limit is instantly restored for fresh withdrawals.

Key Benefits & Features

• Pay As You Use: Interest is calculated daily only on your active outstanding balance—not your total approved credit limit.

• Instant Replenishment: Every repayment immediately restores your available credit limit, allowing you to withdraw funds again without reapplying.

• Effortless Daily Repayments: Repayments are split into manageable equated daily payments automatically deducted from your Wio Business account.

• Flexible 90-Day Drawdown Period: Each withdrawal is repaid over a 90-day period across three 30-day milestones.

• No Prepayment Charges: Make early or partial repayments at any time through the app with zero prepayment fees.

• 100% Digital Experience: Apply, customize your limit, draw funds, and manage repayments directly from the Wio Business app.

How It Works

Eligibility Criteria

To be eligible for the Wio Business Line of Credit:

• Active Business: Your business must be operating in the UAE with valid company documentation (Trade License, Emirates ID, Passport).

• POS Terminal Integration: Available to business customers operating eligible POS payment terminals (such as Magnati or Network International).

• Turnover & Banking History: Assessed based on your business bank account statements and POS credit turnover.

• Security & Collateral:

• Facilities up to AED 250,000 may be granted as an unsecured facility with no collateral requirement.

• For secured facilities, your POS settlement account is linked to your Wio Business account.

How to Apply

1. Log in to the Wio Business app and tap Wio Line of Credit.

2. Review Onboarding Requirements: View the product terms and tap to start your application.

3. VAT Information: Select your filing status (Yes, we report quarterly, Yes, we report monthly, or No, we don't report VAT) and upload your recent VAT returns if applicable.

4. Company Turnover: Enter your company’s expected annual credit turnover across all UAE business bank accounts.

5. Bank Accounts: Add your company bank account details and IBANs (including non-Wio UAE bank accounts) to maximize your eligible credit limit.

6. Review your information and tap submit application.

Application Review: Applications are reviewed within 3 business days. You will receive an instant notification once your offer is approved.

How to Accept Your Offer & Set Up Auto-Debit

1. Open the Wio Business app and tap start application on your approved credit banner.

2. Review your approved limit and tap edit limit if you wish to select a lower credit amount.

3. Select Repayment Account: Choose the AED current account to be used for daily automated repayments.

4. (Optional) Turn on the Autopay from Saving Space (Flexi only) toggle to allow automatic deductions from your Flexi Saving Space if your main account balance is insufficient.

5. Review the digital agreement and authenticate the SMS confirmation code sent to your registered mobile number to activate your credit line.

How to Borrow Funds (Drawdown)

1. Open the Wio Business app and tap Wio line of credit on your dashboard.

2. Tap Borrow.

3. Enter the amount you want to withdraw (minimum AED 2,000).

4. Review your total loan breakdown, daily repayment amount, and your 30, 60, and 90-day repayment milestones.

5. Swipe right to confirm.

6. Funds are credited instantly to your Wio Business AED account.

How Repayments Work

1. Automatic Daily Payments

• Repayments are split into small, equal daily amounts deducted automatically from your selected Wio Business account every evening between 9:00 PM and 11:59 PM.

• Each daily payment pays down both interest and principal, immediately restoring your available credit limit.

2. Repayment Milestones (30, 60, and 90 Days)

• Your total withdrawal is structured across three milestone due dates: Day 30, Day 60, and Day 90.

• As long as your daily payments are up to date, your milestones are met automatically.

3. Early & Manual Repayments (Payback)

• You can make additional or full repayments at any time to reduce your balance and save on interest.

• Go to Wio line of credit > tap Payback > enter the amount > confirm.

• Early repayments do not incur any prepayment fees and instantly reduce your daily payment amount.

Managing Missed Payments & Account Statuses

To keep your Line of Credit active and healthy, maintain sufficient balance in your Wio Business account for daily automated deductions:

• Missed 1 to 5 Daily Payments:

• If a daily payment fails due to insufficient balance, the missed amount carries forward to the next day.

• You can clear the shortfall at any time using the in-app Payback button or by funding your Wio account.

• Missed 6 Consecutive Daily Payments:

• If daily payments are unpaid for 5 consecutive days, your borrowing ability is temporarily locked on Day 6 to prevent further debt accumulation.

• Your line of credit unlocks automatically as soon as the overdue amount is cleared.

• Milestone Overdue (Past Due Beyond Grace Period):

• If a 30-day milestone payment remains unpaid past the grace period (Day 36), an AED 199 late payment fee is applied.

• Overdue statuses are reported to the credit bureau and may affect your business credit profile.

• Unresolved Overdue (60+ Days Past Due):

• If outstanding dues remain unpaid for 60 days past the milestone, the credit line is permanently suspended.

Managing Your Line of Credit

How to View & Download Statements & Agreements

1. Open Wio line of credit and go to Manage (or settings).

2. Download your Credit agreement, Amortization schedule, or monthly Line of credit statements.

How to Close Your Credit Line

1. Settle all outstanding balances to AED 0 via Payback.

2. Navigate to Credit > tap manage > select Close Credit Account.

Frequently Asked Questions (FAQs)

How is interest calculated on the Line of Credit?

Interest is calculated on a daily reducing balance basis. You only pay interest on the exact amount withdrawn and for the exact number of days it remains unpaid.

Can I withdraw funds multiple times?

Yes. You can make multiple withdrawals anytime during the 1-year validity period, provided each withdrawal is at least AED 2,000 and within your available credit limit.

Do daily repayments change if my daily POS sales fluctuate?

No. Daily repayment amounts are fixed based on your withdrawal schedule to ensure your balance is fully settled within 90 days.

What happens if I make an early repayment?

Making an early payment reduces your outstanding principal immediately. This lowers your future daily repayment amount and reduces total interest costs without any penalty charges.

Can I change my daily payment time?

Daily payments are processed automatically every evening between 9:00 PM and 11:59 PM.