Q: My brother lost his job in the UAE 8 months ago and has a debt of AED 170,000 to a bank. He is finding it extremely difficult to make monthly loan payments to the bank, as he has been unable to find a job even after 8 months. What options does he have to reduce/settle his bank debt without having restrictions on him, like a travel ban, etc? Please help him find the best possible solution considering his current financial situation.

Q: I have a personal loan and a credit card and due to job loss, I was struggling to find a way to pay the dues. I have 3 months' dues left and my credit card as well is pending. I did inform the bank about the job loss, however, they have bounced the cheque and a travel ban has been initiated. Now I'm paying back the dues little by little, however, the bank called and asked me to pay an amount that I cannot afford at this moment. They are proceeding with the full amount recovery procedure. Recently, I have acquired a low-paying job and have asked the bank to give me 2 months of time to stabilize things. However, they refused and said they could not. What can I do here? Please suggest a way out here. My last visa got canceled and currently on a visit visa. Will I be able to get an internal visa extension here? I want to continue here in the UAE, but the bank is making my life hell and giving me mental breakdowns and torture by collection calls.

Q: Hi, I have a bank case on a personal loan which was 2570000. I paid EMIs up to 200733 and the rest of the amount needs to be paid, but my company terminated me and I couldn't get a job. What should I do as the bank case has been filed and it's now in execution?

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.

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 Federal Decree-Law No. 50/2022 Issuing the Commercial Transactions Law, known as the "New Commercial Code" governs commercial transactions in the United Arab Emirates. The New Commercial Code repeals the previous UAE Federal Law No. (18) of 1993 Issuing the Commercial Transactions Law.