Hyderabad, Aug. 13 -- Dubai is preparing to launch a "Rent Now, Pay Later" service in September, allowing tenants to spread their annual rent payments over up to 12 months without interest, according to a report by Arabic daily Emarat Al Youm.

The initiative is being developed by the Dubai Land Department (DLD) in partnership with a local bank and is aimed at easing the financial burden of large upfront rental payments while giving tenants greater flexibility.

Under the proposed arrangement, tenants would choose a residential property while the participating bank pays the landlord the full annual rent upfront. The tenant would then repay the bank through flexible instalments over a period of up to 12 months at zero interest.

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