Bank collection requesting full loan payment from a terminated employee

Dear Questioner,

To confirm my understanding, you had a loan with RAK Bank while you used to work in the UAE back in 2014, you left your job and left the country before settling such debt.

You did not stop the monthly instalments or the payments to the bank. However, you are now contacted by a collection company from India.

I advise you to get in touch with the bank's collection department and try to understand why they have referred the file to a collection agency before they tried to contact you initially as per the common practice.

In any way, negotiating a satisfactory payment routine with the bank is much easier and better than facing legal action.

I believe you also have a chance by contacting the UAE Central Bank with a complaint if the bank is abusing its powers against you, and insist to settle the full amount of the loan outside the loan agreement terms.

I advise you to get specialized professional legal assistance to review the terms of the loan agreement before contacting the UAE Central Bank.

Please let me know if you would need further help with referring you to the right contact.

Ahmed Elnaggar

aelnaggar@lkmbgroup.com