UAE considers new laws to prevent Ex-pats from leaving after loan defaults

With the onset of the global financial crisis, most expats are made redundant or otherwise cut on the wages. Though some expats do not have the intention to leave the country, most of them are forced to do so because of the numerous calls and threats that they received from the bank collectors. The banks should be more lenient and flexible. We do pay for the interest charges, credit shields, etc. for any late payments, but still they are too harsh and rude. As long as the intention is there to pay, do not force your client to beg, steal or borrow just so they could make the payment required.

Banks dont care about people, its business out of the interest and hidden charges their putting on their loans & credit cards. You pay the minimum its like your just maintaining your current balance coz next billing the extra amount will be eaten away by service charge, credit sheild, insurance blah blah blah, and alte payment fees… deafulting on payments they will call your mobile, call your office, and be warned to file case against you, that you have until such time this day to pay.. huh slowly thier killing people…killing thier families as well..

Why not make some solutions, like to restructure or ask the borrower how much he can pay, better than not paying at all..slowly they can gather some funds.. much better than forcing people to leave the country.

People who are left behind, and that are willing to pay and settle all thier loans are threated hurshly with no respect, being theated like an animal or criminals. I hope bank will sort out solutions in helping the people that can help them as well.. not by scaring people and throw them to jail. In this time of crisis certain measures should be done not by maiking another laws for defaulter but rather remidies to ease the burden of willing payers.

We are also the victim of the global financial crisis, due to that we couldnt pay to our loans on time for more than 3 months, but the bank put my husband in jail and we are in streets now, our business is closed, we are forced to vacate the house and these bank ppl are harassing everyday by coming home, calling and threatening over the phone using abusing words. I request all the banks, most of the business runs on loans and you are taking interest and all the blah blah for that, please check the genuinity of the person, dont say that it is our duty to file a case, instead check the persons ability to pay back the loan, allow him to work and get it, ppl who are genuine and want to pay back, like those ppl only are suffering like my husband and his family is in streets now.

i presently reside in qatar and i have also an oustanding loan its 6 months i was not able to pay the monthly dues and dont have any job i was retrenched from my company last dec. 2008. for it is better for both parties the debtors and the lender (banks) to help its other .the defaulter is not at fault when he cannot service his monthly dues when he is jobless .if the debtors can find a job then he can continue paying his loans any amount possible. so there must a coordination from the bank , from the authorities to help the hopeless individual to find some relief but not threatening them . anyway they stay in the country where the bank can count them and as an assurance that the debtors stay because he willing to pay his loan , the must give whatever support to ease their sufferings .

I have been in U.A.E. for more than 5 years and have an account and credit cards in H.s.b.c. bank and R.B.S. banks.
I have been a very good customer and my approximate expenditure was approx 5 to 7 k per month in terms of interest and other charges along with the minimum 5%
which means the banks were collecting around 40 to 50 k dirhams as interest and service charges
but now during the recession when I defaulted payment due to unpaid salaries the collections department staff are bawling and calling me a cheat, fraud and put me in jail.
The worse part is that all these persons are also expats who have come here for earning a living who can understand the grievences.
it is really appalling

Can someone here willing to help me?I lost my job after my termination to my previous company which was the reason for my unpaid credit cards.I was able to find a job, got my employment visa but was not able to get residence visa as bank filed a case against me. I tried to talk to them but insult and a cold treatment was all i got.I am willing to pay that is why I did my best to find a new job however, rejection is what I get. Now, I do not know what to do. I hope someone here can help me out as I am just considering to surrender myself in the police. My chance of paying now is unclear as the company withdrew their offer as they cannot issue me a residence visa

Hi,I’m also a victim of recession in UAE and I was decided to leave UAE as my last resort.I was looking for a job after my retrenchment unfortunatety I didn’t found any.My previous company they didn’t did any cancellation of my visa as consideration for me. I was a good payer after my layoff for about 4 months. I know my responsibility and still thinking about it in a right time.

May I know is my loan is insured? How true that loan in UAE is insured. PLease have a respond. Thanks in advance

hi mr. pillai,

how long they keep into the jail for loan defaulter, cant they deport the defaulter if he has not job. kindly reply pls
thanks
jaspal

if person can not pay is loan what is the final jail in jail they cannot recived money, how long they can keep in jail

Cheques in the UAE is part of the slavery system which are implemented to control people , when you enter the country you need sponsor to live,eat or work , and this sponsor is your company or your guarantee cheques.
Banks are not very keen to recover their money since they will automatically get it back from insurance companies once they take legal action agains you and throw you in jail .
Their main task is to make example out of you and ensure that other slaves will never dare and do the same mistake that you did .
UAE legal system is a copy of the UK and US system in the 17 and 18 century and you are treated like a nigre slave no matter what is your nationality, education or position ( you are disposible at any time , and you will be trated like any other creminal by police and in jail ) the best example is what hapen to business men and large companies CEO who are spending time for bounced cheques crime (there is thousand of them in dubai jails )

i want to tell tht if anybody who is working or capable of taking loan or credit card please dunt take y i m telling this because banking world is a very bigger mafia. specialy in uae the banks are like mafia first they call you everyday sir take a credit card or a loan and then when you take it start using it and you pay monthly dues and u r a very good client we give you this and tht but i tell this all is fraud this is nothing because if you dunt trust me just check your credit card statments you will know tht you had paied over your card limit you know something over and over you just are paying like shit to them as many cards you have you just working for them only.
my oppion is tht never keep your money in bank and never take any loan or a credit card. anybody who ever is reading i want to tell them tht dunt keep your money any amount its bigger or is it samller it doesnt make a difference because you know if you dunt pay these they can throw you in jail but if a banks got a bankcrupt they will never pay u back and u cant do anything y do they get bankcrup because ppl like us get bankcrupt because everyone gets bankcrupt . so i tell save your money as you can . if anybody wants to spends any money just spend according to your earnings like wise only 20% only. because if you take a loan or a card they will give you money beyond your limits and u will not able to pay it .its easy to spend but its hard to pay . money is not hard to earn in this century no but its very hard to pay. and the ppl who have a credit card or a loan i want to tell them dunt worry atall in uae banks cant do anything to you yeah they can put you in jail just for 2 or maximum 6 months but not more if bank ppl calls you and say tht we will put in jail then tell them do wat ever you can do they can just put you in jail rather dis they cant do anything and when your case comes in front of the judge just tell tht you dunt have job and you are searching for it but if you dunt get a job or u dunt want to live in dubai or anything else den you should runaway but i tell you will never find a place like dubai or i should say like UAE in anywhere in the world so dunt run if you really want to pay dunt be dishearted just spend the time in jail and nowadays its not a big issuse and i know tht one day UAE goverment will chage the banking laws but remmeber u just have to say u dunt have job in front of the judge and u want to pay after two months u can make settlement with the bank even nowadays banks are moking settlement outside the court . (IN DUBAI 90% PPL ARE DEBTORS TO THE BANK) IF EVERYBODY SAY THT DEY DUNT HAVE MONEY ALL THE BANKS WILL BE BANKCRUT. THIS I CAN SAY TO THE PPL BUT CANT SAY TO THE BANKS I AM SORRY PPL.

Dubai rules are very rigid. Do not go to jail.Go home as early as possible.

xxx

*if somebody leave UAE with credit at international bank, will the bank file a case to the police??? can somebody answer me, pls.

@Mark Knowles:
Hi Mark,

I have the same problem, I didn’t continue paying my loan in the UAE because I was broke and decided to leave the country. Now I’m in Canada and my boyfriend filling for sponsorship as a spouse. Is it posible to obtain a police clearance from Dubai?

thanks….