Questions & Answers
Questions & Answers
3 available 3 • View allI defaulted on a personal loan and the finance company filed a civil case with a much higher amount



0
Q: Hi,
I have received a message from a finance company legal team stating that my file has been sent to start filing a civil case for my personal loan for which I defaulted on its payments.
Total loan: AED 98,000
Tenure: 120 months
Interest rate: 39.99
Amount Paid: 36,740
No. of Months Pending: 109 pending
Amount Pending: 364,060
Principal Amount Pending: 94,547.65
During my settlement discussions, I requested to take into consideration the amount that has been paid towards my loan: 36,740 AED, however, this request has been rejected, and it has been proposed to pay AED 80,000 in one shot.
I also requested multiple times to receive the statement of all payments that I made. Requests have been rejected and I have submitted a complaint to the Central Bank which is still under investigation
How can I better negotiate a settlement that is more reasonable in order to avoid a civil case?
Moreover, what are the procedures of a civil case knowing that a travel ban will be imposed until the entire amount is cleared?




Feb 12, 2024
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How to restructure my outstanding loan with the bank that doubled the debt amount?




2
Q: I requested the bank to restructure the outstanding loan for an extended period, with the remaining amount being AED 150,000.
The bank informed me that the new term would be 48 months, but I later received an agreement for 72 months. Upon noticing the discrepancy, I declined the offer, and as a result of the dispute, the bank filed a criminal case against me.
I paid the fine and resolved the issue with the court. Now, after 7 years, they have initiated a cheque execution case for AED 300,000 with a travel ban.
I have an email from the bank stating that the liability is only after the case has been filed AED 150,000. The signature on the cheque is mine, the rest of the details were filled in by the bank, including the total amount of the monthly dues for 72 months.
How can I proceed in this case?
I intend to request an installment option for the original amount of AED 150,000, without any applicable interest discounts as mentioned on the cheque and the case value.





Jan 11, 2024
169
Proving the actual amount in a bank case for a personal loan 
3
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.

Mar 26, 2019
1537
Legal blog
3 available 3 • View allFailing to Honour Bounced Cheques in Loans and Other Transactions 8
An interview-format article covering the topic of loans and bounced cheques in the UAE. This is from the legal podcast of lawyer Ludmila Yamalova, the founder of Lawgical with LYLAW.
Jan 15, 2020
7110
Bounced Cheques in the UAE: What You Need to Know in 2024 291
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
222584
Bounced Cheque Cases & Cheque Execution in Dubai as per the New Law 9
What shall I do if I have a bounced cheque? You need to contact your lawyer as soon as possible to issue a travel ban against the person who issued the bounced cheque. It should be noted that time plays a very important role in bounced cheque cases.
Aug 15, 2022
914
Laws & Regulations
2 available 2 • 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
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Federal Decree by Law No. (35) of 2022 Promulgating the Law of Evidence in Civil and Commercial Transactions 0
The provisions of this Federal Decree by Law No. (35) of 2022 Promulgating the Law of Evidence in Civil and Commercial Transactions, known as the "New Law of Evidence", governs the laws of evidence in the United Arab Emirates. The New Law of Evidence repeals the previous UAE Law of Evidence (Federal Law No. (10) of 1992 On Evidence in Civil and Commercial Transactions).
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After 11 months of work, how many leave days is an employee entitled to? 0
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What can I do if I got a judgment in absentia for selling medicine without a license? 0
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We need the money now. We have been to the police station, and they said they can not do anything as the reason the cheque bounced is "Insufficient funds."
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What can I do if I got a judgment in absentia for selling medicine without a license? 0
I got an order of 6 months imprisonment and deportation for a judgment in absentia by the Sharjah court for selling medicine without a license. I was not involved in the case directly; my friend used my car, and he had my bank card.
They made a confession that they were working for me and made a false claim that they had transferred money to me. As I am outside the country, I came to the UAE to solve my case.
I got detained at the airport, and the CID asked me some questions. I mentioned they didn’t transfer me a single Dihram, so he let me go, as the case was already open for appeal.
In the first instance court, they gave me the same verdict, then I appealed and attached documents like bank statements and my company details, which were not mentioned before.
They gave a date for the judgment, but it was not issued, and they gave the next date. I have been suffering a lot for the last 3 months here in the UAE and for 6 months back home.
So my question is that what will happen next?
Will the case be open for retrial, and will the CID be convinced by my logic?
Can they drop charges, or now the court decide only?
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How can we claim our money back if the cheque we received have bounced for insufficient funds? 0
We received a cheque which has now bounced. We have tried for over a month and a half now to get a new cheque from the person, and every day he says the next day.
We need the money now. We have been to the police station, and they said they can not do anything as the reason the cheque bounced is "Insufficient funds."
We have been to Al Barsha - Dubai Courts, and they said there is nothing they can do about it.
We are not sure what we can do. We need the money asap to pay our kids' school fees, let alone all the interest we have lost.
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After 11 months of work, how many leave days is an employee entitled to? 0
Hello,
I want to inquire regarding my leave privileges. I am now 11 months in my company. How many leaves am I privileged to?
Based on Decree-Law No. 33 of 2021 regulating labour relations and its executive regulations, you are entitled to a paid weekly rest for not less than one day, as specified in the work contract or the work regulation.
The Council of Ministers may increase the weekly rest day stipulated in this article. The Decree-Law and its executive regulations also stipulate that you are entitled to an annual leave with full pay as follows:
- Thirty days for each year of your extended service.
- Two days per month in respect of any employee with more than six months and less than one year of service.
- Leave for parts of the last year of your service in case it is terminated before you use your annual leave balance.
Now my question is: do I have 22 days I can use? Can someone explain to me in detail?
Thank you!
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I got an order of 6 months imprisonment and deportation for a judgment in absentia by the Sharjah court for selling medicine without a license. I was not involved in the case directly; my friend used my car, and he had my bank card.
They made a confession that they were working for me and made a false claim that they had transferred money to me. As I am outside the country, I came to the UAE to solve my case.
I got detained at the airport, and the CID asked me some questions. I mentioned they didn’t transfer me a single Dihram, so he let me go, as the case was already open for appeal.
In the first instance court, they gave me the same verdict, then I appealed and attached documents like bank statements and my company details, which were not mentioned before.
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