Urgent UAE: Banks decide to stop credit cards in this case

Abdallah Shahin - | UAE

According to two bankers, if a credit card's credit limit is exceeded, banks will take action by withholding credit card installment payments for 60 days after the first payment is due. They said that these actions would entail agreeing to issue a new card and setting up a new payment method, as well as suspending the card until all arrears are settled.

"Banks where the customer's salary is not available are more rapid in taking these measures, compared to the salary bank," they continued, telling "Emirates Today."

Explained in more detail, the banker Tamer Abu Bakr stated, "Customers must pay credit card payments on time in accordance with the established method, whether by paying 100% or 5%, but the banks will halt... if the card's entire credit limit is used and other sums surpass it. The card has not received any payments from the customer for the first sixty days after the first payment was due.

"Usually with lower payments, the situation is different," he continued. "That is to say, if the customer did not use the card's credit limit and was late with a payment, it is usually not stopped; instead, the collection departments get in touch with him to determine the reason for the delay and work out a payment and commitment plan."

"Banks grant cards to customers, whether their salaries are with them or with another bank, as long as their credit rating allows it," stated Mustafa Ahmed, a banker. Since the salary is a guarantee for any arrears and the possibility of seizing the available balances in favor of the credit card, unlike other banks that only have a guarantee check, and this is used as a step, there is great care to monitor the extent of payment commitment, especially from banks that do not have Customer salaries. The statement goes on to say that "these banks are usually faster in taking action than the salary deduction bank."Ultimately, in specific circumstances, following the point of default and total payment cessation.

He emphasized that "customers must commit to making payments on time on time every month, to avoid late fees and interest accumulation," saying that "banks resort to stopping the credit card if the customer's use of it exceeds the credit limit and does not pay for a period of 60 days from the due date of the payment."

About Author

Abdallah Shahin
Abdallah Shahin
693 Total posts


Read Also

UAE
Global cyber disruption: An important statement from Dubai Airports due to the disruption of flights today

An important statement from Dubai Airports in response to the suspension of flights that occurred today owing to global cyber disruption that occurred.

UAE
Global cyber outage: Instructions of the UAE Ministry of Foreign Affairs

As a result of the global cyber outage, the United Arab Emirates Ministry of Foreign Affairs has issued the following instructions.

UAE
UAE weather: Thick clouds cover the Emirates today and cause storms in some areas

There are storms in certain regions of the United Arab Emirates today due to the thick clouds that cover the Emirates.

UAE
UAE warn of fines of up to Dh100,000 for the unlawful use of prescribed medications

Authorities in the United Arab Emirates have issued a warning that individuals who illegally use authorized pharmaceuticals might face fines of up to 100,000 dirhams.

UAE
‏Urgent.. The Prime Minister announces the new ministers in the UAE government

Today, Sunday, Sheikh Mohammed bin Rashid Al Maktoum, Vice President of the UAE, Prime Minister and Ruler of Dubai, announced the new formation of the UAE government.

UAE
Mohre announces the facilitation of work permit procedures in the UAE when issued or cancelled

The Ministry of Human Resources and Emiratisation announced the facilitation of work permit procedures when issued or cancelled.

UAE
Dubai Airport announces new restrictions on passengers

Dubai Airport authorities announced some restrictions for non-travelers in July and August.

UAE
Companies in the UAE provide alternative systems for end-of-service compensation

Various alternate methods of end-of-service compensation are offered by businesses in the United Arab Emirates.

UAE
New important instructions for passengers traveling through Dubai airports

Travelers in a hurry to leave Dubai are advised to complete immigration 1.5 hours in advance of departure.

UAE
FTA announces the imposition of a fine of 10 thousand dirhams in the UAE due to taxes

It has been announced by the FTA that a fine of ten thousand dirhams will be imposed in the United Arab Emirates due to taxation.

UAE
The Meteorological Authority announces the date of rain in the UAE during the coming days and weeks

The dates of the upcoming rainy days and weeks in the Emirates are announced by the Meteorological Authority.

UAE
Mohre announces paid holiday for employees in the UAE

Mohre has stated that employees in the UAE will receive paid vacation time.

UAE
Expo Dubai gives families the chance to win a summer vacation in 7 destinations

During Expo Dubai, families have the opportunity to win a summer trip to one of seven different locations.

UAE
Dubai Mall Introduces Paid Parking from July 1 with Salik Boards Near Entrances

Boards displaying the distinctive grey and white Salik branding have recently appeared at various entrances of Dubai Mall, signaling the imminent introduction of paid parking for visitors.

UAE
The UAE authorities announced the evacuation of residents from a residential tower in Sharjah

It was stated by the authorities in the United Arab Emirates that the occupants of a residential tower in Sharjah would be evacuated.

UAE
Dubai announces plan to add 32 new metro stations by 2030

Dubai's Metro service is set to significantly expand in the coming years following the approval of a development plan by the emirate's Executive Council.

UAE
Dubai Targets $177bn FDI by 2033 with Major Metro Area Developments

Dubai has set an ambitious target to attract AED650 billion ($177 billion) in foreign direct investment (FDI) by 2033, supported by the Dubai Executive Council.

UAE
UAE announces 5-Year Penalty for Revealing Work Secrets

The Criminal Information Center (Wa'i) of the UAE's Public Prosecution recently brought attention to the consequences of sharing confidential company information on social media, with the undercurrent of "Work secrets are trust."

UAE
Dubai seized 1,274 drug shipments last year, including heroin, meth & marijuana

Dubai Customs reported 1,273 seizures of illicit drugs at land, sea, and air ports across the emirate as part of efforts commemorating the International Day Against Drug Abuse and Illicit Trafficking.

UAE
A new fuel prices in the UAE for the month of July.. Changes in taxi prices

The UAE has recently implemented new fuel tariffs for the month of July. The prices of taxis have been adjusted.

UAE
UAE Petrol Prices Decline Once More for July 2024

The UAE has announced a reduction in petrol prices for July 2024, marking the second consecutive month of price decreases across the country.

UAE
UAE Takes Action Against Counterfeit Goods with 620 Violations Recorded in 2023

Since the beginning of 2023 through the first half of the year, the UAE's Ministry of Economy has conducted 4,444 inspection tours across local markets. These efforts target cases of commercial fraud, imitation, and trademark counterfeiting,...

UAE
UAE Sets 6 New Rules from Fines to Paid Parking, Changes Effective July

As we approach the midpoint of 2024, the UAE has been abuzz with significant developments that are set to impact daily life and financial planning across the Emirates.

UAE
New fees and fines will be imposed on UAE residents starting July 1

There are six new restrictions that will take effect in July, ranging from paid parking to new fines in the UAE.

UAE
The UAE authorities announced the amendment of the system of paid parking fees in several areas

It was declared by the authorities in the UAE that they would be changing the system of paid parking fees in a number of different regions.

UAE
The UAE warns of hail and rain in some areas and issues an orange alert

This morning, the National Center of Meteorology in the United Arab Emirates issued an orange alert regarding the weather conditions in the UAE. The center warned of rain in some eastern regions, in addition to the presence of dusty conditions...

UAE
UAE police arrested Hundreds in overnight crackdown on cybercrime syndicates

In a sweeping overnight initiative across the UAE, significant cybercrime networks were disrupted, marking a pivotal moment in law enforcement's ongoing battle against digital crime.

UAE
UAE: Four New Mosques on Famous Square Corners Wow Residents

Sharjah has constructed four new mosques with traditional Islamic styles that really reflect Arab culture and Islam.

Approval of a unified visa for 6 countries for expatriates in the Gulf Cooperation Council countries