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

Q: I have a personal loan with a local bank. I lost my job and defaulted in the last few months. The current outstanding is AED 179,000. They presented a cheque of AED 472k, paid the fine and came out a few months before. Now, they are calling about a civil case if not paid within this month. Please advise

Q: Hi, I had a personal loan from a bank for the total outstanding of 37400. Now, I am terminated from my job and did not pay to the bank for 3 months. They have filed a police case against me in Umm al Quwain. I went to the police where they took me to court and got the date of 29.04.19. I want to know what will happen now.

Q: Dear Sir My question is that I have two credit cards of a total outstanding amount of AED 60000 including interest and late fines...etc. I am not paying the credit cards payments for the last six months due to financial issues. I contacted the bank for full and final settlement after giving a discount but the bank has not agreed to give a discount and asking to pay the full outstanding amount. What would be the legal consequences in case of not paying the cards payment? Please advise how to settle and close these issues. Regards, S.A.

Q: Hello, About the new insolvency law for a natural person, does this also include Small & Medium Enterprise (SME) owners? I am specifically asking about those businessmen who have business loans from banks and unable to service the loan, where the banks file a criminal case against the owner known as bounced cheque case. Are these businessmen also covered under the insolvency law, so that they get a chance to sort out their debts?

Q: Hello Madam, I have the criminal case against me due to the cheque bounce for the amount of 207,000. I was jailed for one day and later I have been to the court and paid the penalty of AED 10,200 I was paying the loan on time and I lost my job suddenly and my outstanding money with the bank was AED 33,000 debited and my EMI was 4,967. I was jobless for six months and came back to the UAE again and wrote a mail on the situation and told that once I will get my salary I will pay. But the bank has deposited my cheque and got bounced. Now the collection department is calling me daily to close the amount. My outstanding is only 90,000 but they are asking for 104,000. They want to put a civil case against me. Is this possible? Kindly give me the solution, how can I handle this situation or should I wait for the civil case and let the court decide? Thanks & Regards C. A.

Q: Hello, My credit card limit was 30k. Once I stopped paying, they are now asking me for 94k and telling me they will file a civil case against me. What should I do? They are now giving me a settlement, but it is still more than my credit card limit. Please guide me!

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.

This Law applies to merchants, as well as to all acts of commerce carried out in the UAE by any person even though he be not a trader. Commercial matters regarding which specific Federal laws are issued shall be subject to the provisions of such laws, and to the provisions hereof which do not contradict with said laws.

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.