Q: Dear Madam, I took a personal loan from a bank for AED162,000/- and paid AED 139,000/-. Now, the balance is 84,000/- (with interest). I received information that the bank has filed a case for AED 219,000/-. I did not pay the monthly EMI of AED 4,538/- for more than 6 months due to job loss. How is the bank filing a case for 219,000/- instead of the actual amount? What is the procedure to reply to the bank against this case? Please advise. Thanks and regards, S.

Q: I currently have two credit cards with a debt in the UAE and have left the country due to my daughter’s health. I have been in contact with the bank and tried to make the payments. I have emailed with no response. I finally received a response from the collection department after many emails. I told them I wanted to make the payment and asked how. They gave a method so I made the first payment and said I would continue to make a monthly payment. Before the next payment was due, I received another email saying they were going to open a legal case against me for not making any payments. I emailed again and sent the proof of payment. I asked if I could still make the monthly payments and I never received a reply. Then I get another email saying they presented my cheque, which bounced, and they were going to seek further legal action in the UAE and country of residence. I emailed again to sort this issue but haven’t received a reply. What are my options as I want to clear this debt?

Q: Is it true that the new rules say that paying a fine (which is 10% of the total loan) for not paying loans/credit card or bounced cheques will get someone cleared from loan/debt cases? After paying the fines, will a police clearance be issued and there is no more obligation to pay the previous loan amount now? If for example, someone owes the bank a total of AED 35000 late payments and interest, the person only pays a fine of AED 3500 and the case is cleared?

Q: Good evening sir I have a cheque bounce case for my personal loan. The bank deposited the security cheque for the amount of 430,000 and the case was reported in Jebel Ali police station on 24/06/2018. Now the case penalty has been referred to the court of Misdemeanor & Violations. Could you advise how I need to proceed further?

Q: Cheque bounce cases do not end by paying a fine in the Dubai police station. Dubai civil court gives judgment in absentia for cheque amount + 12% interest. The civil court execution department put a travel ban and you get arrested at the Dubai airport/your office/home and you stay in jail until you honor civil court judgment. Banks do not negotiate or talk about this stage. What to do if you do not have money to pay civil case judgment of cheque amount + 12% interest? How to get out of this problem?

This Law promulgates the Federal Penal Code (Criminal Law) of the United Arab Emirates. Crimes and chastisement punishments shall be determined in accordance with the provisions of this Law and other penal codes.

The provisions of this law, promulgating UAE Civil Code, govern the civil transactions in the United Arab Emirates. The commercial transactions remain subject to the laws and regulations applicable in their regard.

The provisions of this law On Evidence in Civil and Commercial Transactions (Law of Evidence) govern evidence in civil and commercial disputes in the UAE.

The provisions of this Decree by Law amend the Federal Law No. (18) of 1993 by replacing Clause (4) of Article (379) as well as Articles (600), (617), (641), (642), (643), (644), and adding new articles numbered (635) Bis, (641) Bis (1), (641) Bis (2), (641) Bis (3), (641) Bis (4), (643) Bis (1), (643) Bis (2), (644) Bis (1) and (644) Bis (2). The Decree-Law also repeals Articles (401), (402) and (403) of the Federal Law No. (3) of 1987.