Bank account of a terminated employee

It's important to note that there is no mention of this activity under the UAE Labour Law and it's not a standard procedure by any means. Yes, it can and does happen after an employer notifies the bank of an employee's departure.

The UAE Central Bank does have rules in place which outline seven specific cases, in which a bank can demand immediate payment of any outstanding loans, that a customer may have. It includes:

- if the borrower is terminated for any reason;

- the transfer of the borrower's salary to another bank without prior approval of the bank;

- violation of any terms by the borrower;

- defaulting on three consecutive loan installments or six non-successive installments;

- if the information and documents submitted by the borrower when applying for a loan are not correct;

- if the bank notices that there are reasons, why the borrower may not be able to redeem the loan.

But it would be unusual for an employer to allow you to keep an account open, once you're off their sponsorship. As soon as you inform your employer that you quit, the employer should notify your bank about your dismissal, and it's possible that your account gets frozen.

For this reason, you can withdraw any cash before you let your employer know of your dismissal unless you're sure that access to your account won't be denied. You could also consider opening a second account in another bank before you inform your employer of your dismissal. The company may only be interested in the bank account, where your salary is deposited.