Questions & Answers
Questions & Answers
3 available 3 • View allWhat to do with the bank if they accept to settle only with the entire loan?
1
Q: Hi,
Firstly, thank you for this service.
Let me briefly describe my situation.
Been in Dubai for a long time. Lost my job recently and frantically applying for a new one. Currently on garden leave until June, so only 2 more salary payments are pending.
I have a loan for AED 950k and an outstanding mortgage of 900k (the value of the property is 2m AED.
Afraid that after June I will not keep up with payments on the loan for sure which are 33k per month. Willing to settle since I have access to some funds but the bank only wants to settle on the full amount with all 5-year interest payments added.
I have access through the family of approx. AED 500k to use for settlement. The loan was for 5 years and paid without any defaults for 26 months. I have no savings at this time but in the coming June, I will most likely default.
Any advice would be appreciated.
God bless.

Apr 22, 2022
376
Bank claim to pay a loan after paying a fine in the criminal case

4
Q: Good afternoon
I have a case regarding a loan with a bank. They put on me a police case for a bounced cheque. I have already attended a court and paid a penalty.
Then I got notification from the court that I am free, but the bank still pushes me for making a minimum payment.
The question is if I have already paid a penalty to the court, does the loan still continue?


Oct 25, 2018
4383
Avoiding a civil case by the bank through settlement
4
Q: Dear Ahmed,
Eid Mubarak!
I lost my job two years back and I have been on a couple of visit visas without luck!
I have a loan which I was able to pay the first few months of being laid off, however, I couldn't afford to until the bank deposited one of the security cheques.
I was arrested while exiting the country, and fined where I was handed over my passport.
I am back on a visit to look for a job but the bank has threatened to open a civil case, what are my options?
Will they take me to jail? Is there a way I can request the court to allow me to pay little instalments until I get a job?
Kindly advise

Jun 27, 2018
10761
Legal blog
2 available 2 • View allThe Consequences of Job Loss and Defaulting on Financial Liabilities 26
The management of individual financial affairs is crucial and all the actions must be weighed down while committing to any financial liability. Whether it's job loss that may have lead to financial failure or the opposite, one must be aware of the personal liability which will not diminish by paying fines for cheque bounce cases. There are two major types of liabilities, criminal liability and civil liability. Each has its own significance, hence, must be dealt with accordingly.
Feb 12, 2019
18969
Bounced Cheques in the UAE: What You Need to Know in 2024 292
In the UAE, cheque bounce is a very frequent problem faced by people during their span in the country. It is covered under the purview of Commercial Transactions Law, and legal implications/penalties can be financially severe and daunting for more “serious” offenses. Bounced cheque issues may arise in a variety of commercial transactions, including but not limited to, companies’ exchanges, bank loans, property rents or purchases, and individual transactions.
Oct 15, 2024
223280
Laws & Regulations
1 available 1 • View allFederal Law No. (5) of 1985 On the Civil Transactions Law of the United Arab Emirates 96
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.
Dec 15, 1985
148597

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Hi,
I have a tenant who defaulted on rent payment. His cheque bounced due to account closure. He promised cash payment but hasn't delivered.
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Can you go to Dubai Courts and check a civil case with an arrest warrant for unpaid loan? 1
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Should my husband go to Dubai Courts and check what he can do to settle the case or they will arrest him immediately?
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Dear Sir/Madam,
Does the existing tenancy contract between the tenant and the previous owner remain in force even after the new landlord has purchased the property in the middle of an ongoing lease?
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Should it be made immediately after the property has been sold, or at the end of the ongoing tenancy contract signed between the previous owner of the property and the tenant?
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Hi,
May you and your family be blessed.
I'm extremely tense and need your kind feedback on the following issue.
If I have a travel ban in KSA, can I travel to the UAE on a work visa?
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