A Debt Prison reader contacted me two months ago in regards to the desperate financial crisis she was facing in the UAE with outstanding debt. She began calling her creditors daily to convince them that negotiation was in their best interest as well as hers. With persistence and daily phone calls she convinced the creditors that they must agree to a workable payment plan. For Iara, the key to success against the UAE collectors was to keep the lines of communication open and contact them daily until a favorable solution is gained. The same can often be said about collectors here in the U.S..
**Disclaimer – Debtprison.net does not administer legal or financial advice. The contents of this website are my opinions on collection agencies and how to deal with them. Nothing on this website should be interpreted as legal advice or council. No opinions on this website should be used to replace the advice of your financial advisor or your legal council.
Without the valuable real-life experiences of my readers this blog would not serve as a reliable source of information for debtors. My thanks to each and every one who has taken the time to share their experiences with collection agencies! Here’s the comment Iara posted about winning against her debtors in the UAE.
Dear Barry,
You asked me to come back to you, so I came back to tell you what happened to me after that disastrous affairs with credit cards in UAE. I mentioned to you how helpless I felt, and I wanted to run for my life and go back to Philippines, my home country. Well, the end was quite the opposite. “FIGHT OR FLIGHT”, I’ve chosen to fight. I am not a criminal to run away.
I started my personal struggle by reading your articles, and it really inspired me, and it taught me the things I need to know: the lies & intimidation of the collections department and how to deal with it. It hasn’t been an easy journey. I decided to tackle my Royal Bank of Scotland credit card first because it was smaller & easier to kill (only AED 6600). I spent almost two months calling them every single day. I’ve gotten to know all the people working there in Collections Department, from the several agents to the Team Leader and then finally the overall Manager.
I was turned down many times or was being referred to various, different people. They kept on telling me that someone will call me back, but nobody ever did. But I never gave up, I called the customer service and I asked for their help. I told them how unhelpful the agents of Collection Department were and if they could just give me the Manager’s number and name. Surprisingly, I got the information, and I talked to the Manager and recounted to him that I’m willing to pay but nobody’s helping me. I told him that I am planning to leave the country for good, and if nobody will arrange my account, I will just leave without paying it. After 30 minutes somebody called me back, they told me to pay the AED 1640.00 and for the succeeding 5 months, I will pay only AED 1000, INTEREST FROZEN (CREDIT CARD SETTLEMENT).
My other credit card started calling me, but I followed your advice. I didn’t talk to them, they would just make me depressed, and there was nothing I could do, having no money to pay the AED 5000 they wanted. So I just dropped AED 200 or AED 500 monthly to that said bank, and I was continuously charged the OVER LIMIT FEE & LATE PAYMENT FEE & ALL THE INTEREST (which is shockingly more than AED 850 per month)!!!!!!!!!!!!!
Weeks crept on. Then few days ago, I received an email from FGB offering me an Easy Payment Plan that has no other fees but only the 1% per month (so that’s only 12% per annum), and payable for 36 months . . . I was really happy when I received it. Imagine, I am charged more than AED 800 per month for the penalties and interest alone, but with this plan, I am actually paying only AED 238 interest per month with my outstanding divided to 36 months.
I signed the offer, and now I cannot imagine the relief I feel for having a debt-free life. ALMOST.
I hope that my story will serve as an inspiration to those desperate souls out there.
6 months ago, I thought about ending my life because of debt.
Now, I am sooo good. I lost a lot of money, but I earned an experience and I learned a lesson.
Grateful,
iara
please forward me laras email address or giver her my address. need to speak to her urgently.
Sorry my last payment for Mashreq Bank was done in NOv 09
Hi,
I have been reading your articles and find myself in the same situation as many here.
These are the following debts I have:
1) Mashreq Bank- credit card AED 48 K oustanding my last payment was done in Nov 08.
final settlement they are asking is of AED 45 K
2) RAK Bank – credit card AED 16 K outstanding I do pay around AED 1000/month
3) RBS – credit card AED 20 K outstanding and even for this I pay AED 1000/month
4) Barclays – credit card AED 20 K outsanding
5) ADCB loan of AED 30 K outstanding
4) RAK loan of AED 35 K outstanding
I am really in alot of problem eventhough I have my job my current salary does not permit me to pay all the above debts…please I need your advise.
please forward lara my email address. i desperately need those numbers…
Hey Vinoth,
I think the most important thing is to pay what you can and talk with them. Make sure and call them constantly and let them know how much you can pay and what you are going through with your salary. Try and keep communicating with them. Citibank is not in a hurry to have you put in jail. Just make sure you are doing everything you can do and talk with them constantly.
dear sir
iam using the citibank creditcard and now ia have total outsanding is 17000ADE.due my slary problem it is very difficult to pay for me.if iam not payeeing this amount any legal action will be taken or they will put me in jail because iam very much afraid pl tell me ur comments.
at present i dont have job and this amount is very diffuiclt and even iam unable to pay the minium amount.
if iam not payeeing what will be the legal action because for citibank they r calling me to pay the amount i told my problem to the citibank client will they expect r they will take action.
even i have written my problem to the citibank customer will they see this problem and they will me to salve my problem.
pl help me
guys, i have the same problem about credit card and loan debt. the only difference is i am no longer in uae. i am flying to the u.s very soon to be with my husband and that’s what’s really bothering me. despite of all the background and name checks before my u.s. visa was issued,i am still paranoid about getting caught or held in philippines and u.s immigration..does bank really sue a debtor even if that person is no longer there?
You’ll know when you get there….. or you could wait for the call and see what they say.
i used to work in the uae and had a nbd credit card i owe them 13000 dirhams. I am travelling back this week and planning on paying 1200 dirhams into the account tomorrow. The advisor told me to pay a min of 3600 before 31s of january 2010. But he couldnt tell me if a case has been filed against me and i have to wait for a call back what if they call when am already heading to dubai and i get stopped at immigration?
How will i know if they banned me to enter UAE or not?
hi barry,
just wanna share one good news i had with FGB, this happened just after Christmas, of course you know what my Christmas wish was…
Before the holidays I was so paranoid whenever my phone rings, even when the office landline is ringing, especially when my colleague is speaking to these credit card collectors trying to cover up for me, because I was really avoiding them, so that i will never hear any thing that will give me a bad day. For about a week or two nobody was calling me, or should i say, i have dodge their calls, because my officemate will tell them i was not in the office and personal calls are not entertained in the office landline, and when they try calling my mobile, i am switching it off. Somehow I had a temporary peace of mind.
After Christmas, a guy sms me to call him back– he just mentioned his good name but i don’t know for what reason he wanted me to call him. I ignored it same way as I ignored all the bank sms and calls which are all threatening– like: a police case has already been filed against me, and that my security cheque has been forwarded already, and that somebody is coming to the office to take me and bring me to prison… and more… (who would want to hear these annoying threats?)
After two days he called through the office landline, and thanks to my colleague for covering up for me for some time, this time he asked me to answer this one call. I told him, no i am still not ready to answer any call from them. He told me,” just this one, Girlie”.
so I picked up the phone and spoke to him, but i told him to call me on my personal mobile and i promised to answer him.
I’ve known that he was from FGB collections dept. He asked me why I did not pay my credit card for almost 5 months… I said because I don’t have enough money to pay for it. he asked why i was not answering their calls, i told him because i was busy at work. He was like a good adviser when he talks, so I asked him, “would it be possible for me to ask for a settlement plan from your bank?” He stopped for a while, then I continued– “i hope that the settlement plan will be considerable with longer terms of payment and smaller interest”. He asked me to wait for a while, and while i was praying, he told me that FGB is willing to give me a settlement plan where I am going to pay my debt in 36mos and that it will be a fixed amount of 1010Dhs, and what’s more, he said i will need to start paying by February of 2010, not immediately, and the interest is fixed and only about half of my original APR… I was expecting he’d give me a 2 year-plan, but he gave me more, which means I can still stretch my budget and save some for my other credit cards to be paid, so i thanked him and this gave me an impression that amongst all LOCAL GULF Banks, FGB is the best and the most considerate…
Before this I also was able to ask for a settlement loan for my FGB Personal loan wherein I was given 5 years(48 mos) to pay, with interest rate 5% less than its original term.
I just hope more banks will speak to their clients kindly as this man did to me and will offer a considerable plan so that creditors can pay them without being threatened, and that they can still get the payments they want.
As I am writing this I have already cleared Visa credit card I have with Barclays bank. Though I have many more credit cards left:
Barclays Bank -Mastercard (able to pay more than min)
NBD-Mastercard (able to pay more than min)
FGB- VISA and MAstercard plus Personal loan (under fixed settlement plan)
Mashreqbank- Visa and Mastercard (still negotiating for a settlement)
RBS- Visa, Mastercard and Al Ameera (still negotiating for a settlement)
imagine how much i owe, but i firmly believe in God’s grace I will be able to settle all these. Thanks to all the people who gave me advises, your help are greatly appreciated!
thanks, barry, More power!
Girlie
Dear Barry,
I was really inspired by the issues discussed regarding how to settle and solve credit card crunch and all those loan stuffs.My only intention was to research for possible sanction and cases for delinquent payment and none payment for my loan and credit card which was really bothering me a lot.But then it lead me to your column wherein all you guys tackled on how to deal with those collecting agency which was really unhuman specially when they are approaching you it’s like they are the ones who owns the Bank itself and would always tells that if you can not make the payment immediately you will definitely go to jail and a police case will be filed againts you.Just as like today this afternoon a Collecting Agent called me from Emirates Bank reminding me or rather put it this way implying that I’m being irresponsible for the 3 months none payment I incurred I then explain that only recently I got employed and the last couple of months though I’m only doing some part time work I then manage to pay even some amount, that time then they penalized me already for the late payment charge,one time someboby from the same agency spoke to me and threatening me for the same outstanding amount for the usual monthly payment I have to make and even I asked them is it possible for them to wave the late payment fee and penalty they imposed as I told them only now I started to get back from work and my salary was not coming at the end of the month and I wanted it to be moved so I can pay on time.But no body was willing to help me and they said they can’t do anything for the penalty of 300 dhs monthly for late payment it’s just adding up to my 3 months late payment which already sumed up to 5400.Just as my only request was for them to be more lenient to us because same like Lara I do had already second thoughts of running away but then I still stick to my values that I borrowed this amount and it’s my responsibility to finish this and this loan I have to settle for three years more just as I’m hoping that if I ‘ll go and meet the Manager they’ll be helpful to assist to wave the penalty and adjust my due date so I can go back to my normal payment scheme.Just as like my other credit card from HSBC they’re crazy and annoying they are not people they are animals when they are talking to you they are mostly shouting and even you asked for any other settlement they wanted me to provide him a gurrantee check which I don’t have and I asked them to open a cheking acct. with them it has to have a maintaining 5000 dhs. which is impossible for me other option was I have to give a person to be my gurrantor which was more impossible,and they just like told me that’s just the thing they can give.They are really impossible just I wanted to asked maybe you know a person whom I can asked and would assist me to make settlement cause really I can not manage to pay the normal minimum considering I do also three other credit cards to settle other than my loan in Emirates Bank.It was now a life lesson to me to be more careful in spending money specially if it’s a borrowed money because once you lose control you can no longer get up from being burried from that debt just as to be more wise next time and just I made a promise once I had settle this I won’t not do the same again in my life anymore. I will not give up to have flight I will fight for it till I finished it all.
Hey Gigi,
My opinion is to actually go to their office and attempt to speak with them. Explain to them why you have not paid, explain what you can currently pay if anything, and just basically try and keep the lines of communication open and do what you can. That’s about all you can do, I’d do my best and let the chips fall where they may.
Best…
Dear Barry,
I got the same problem like Lara and just now RBS has called me that they will put me to jail as I am not paying the monthly minimum installment. I went to their collection dept 5 mos ago and have submitted dox and asked for a reconstruction but to no avail. Nobody has called me as prom ised. Please help…..I want some advise how to deal with them properly as I want to pay instead of running away.
Thank you,
gigi
Hey Shagufta,
You need to talk to your creditors daily if necessary and keep them updated on your job status. Let them know that you will begin repaying the debts as soon as you find new work. That’s about all I know to do. Just make sure and talk with them constantly and then find a new job.
Hi,
I am in serious problem as lost job in dubai but in debt from Dubai first,first gulf bank,barclays and abu dhabi commercial bank.the amount of all is 32,800 Dhm but now the interest is charged also please help me out in this regards.
I have provided Geraldine with your email.
Hi Guys!
I spoke to RBS already it’s like 5 months that I didn’t pay… So I sat down and discussed things with them. They gave two options:
1. Early settlement which they will gave 4000 dhs discount for my outstanding loan of 33,000 Dhs loan.
2. Just continue pay monthly of 1600/months…
That’s it take it or leave it. They don’t offer any rewrite to your loan so it’s really pain in the ass.
So I choose option 2, but for sure I surely skip any months but I will try to pay little by little even if it’s not the full amount.
Barclays & citibank agreed to have write on my loan with them so it’s a little relief.
Geraldine, email me if yah want…
cheers…
hi again Barry,
it’s been quite a month and still my debts are killing me, i cannot get the same response as what Iara got even if I did the same thing. and i am still confused as to which ccs i shall pay first cuz i really cannot afford to pay all due to my limited resources…
To Jude:
Jude, have you gotten any solution yet? I think we can communicate and think of better solution since Dubai is making this harder for people with debts like us. please email me.
Barry can you give my email ad to Jude? I would like to ask him of any other solution that he did, I think we are more like of undergoing the same situation with the number of credit cards and banks concerned.
and to Ms. Iara: sorry if I’ve been silent lately, just got very busy at work–I did my best but the banks still doesn’t want to cooperate, particularly RBS. i’ll send you an email to detail what happened.
Thanks, Barry… more power!
Geraldine
Hi Barry,
I received iara’s response on my email…
Kindly delete my email on public.
thanks
Hi bary,
iara can email me at *********@gmail.com
looking forward..
thanks
jude
Hey Jude,
You can post your info, but once Iara comments that she has received it, I will remove it promptly. Best, Barry
Hi Bary,
I have same situation as iara… I have RBS loan as well, and I haven’t paid my monthly installment of 1500dhs since July due to financial problem. Now they’re calling me to pay but I told them that I want a reconstruction for my loan because I cannot afford anymore. They are not quite helpful about it and demanded me to pay or else a police case will be filed against me. The same as RAK bank they always treatened me in SMS about filing a police case. So what I did is I shut off my phone so I won’ be bothered and can concentrate on my work and think.
I hope iara can keep in touch with me and can enlightened me about this kind of stuff. I think the admin here won’t allow if I published my contact here. So I hope the admin can contact iara if it’s possible we can communicate in our emails about this matter. Thank you.
The banks that I’m in debt with:
RBS – Loan
Citibank – Loan
Barclays – credit card
RAK Bank – credit Crad
NDB – credit Card
Mashreque – Car loan
To be honest I cannot afford anymore to pay them all… my income is not enough due to salary cut. If they will insist to file a case then where is the analogy there? the more I cannot pay if i’m in jail… and no family will pay for that whole amount. If they want me to serve in jail just to take out all my debt then i think that’s more reasonable enough..
Confused really…
Thanks for all your inputs guys.
Jude
hi geraldine,
I sent you an email.
Dont worry, it wont help you.
iara
(comment edited by Admin)
hi again, Barry,
me again… i would just want to ask if it is possible for Ms. Iara to publish the numbers of the managers whom she has spoken with, or her own number cuz as of this moment I have just fought with the RBS Collections dept, and it was really depressing. I was not able to get his name but he told me that he was the manager. (maybe manager of the collections)
Ms. iara, please email me thru *******rio@yahoo.com or sms me or call me at ********. I would really want to speak to you cuz i am very inspired by your story and would really want to end up all my debts in soonest possible time.
Thanks again, Barry…
regards,
Geraldine
hi, Barry,
thanks for featuring stories like iara’s, i am also a filipina with neck-deep debt here in Dubai, and this situation is nearly killing me, I am having nervous breakdown lately, sleepless nights and my work is kinda affected by these bank calls trying to humiliate me in front of my manager and my officemates.
i can say that i am just in the beginning of the battle, still afraid of being sent to jail, and receiving lots of threats for not being able to pay even the minimum for all my credit cards…. i have just set to myself a repayment plan to erase all my debts, but it might take a longer time. once i get out of this i will get back to you and share my story.
this one is inspiring, iara… you’re right, there is nothing to be afraid of… many thanks!
hugs,
Geraldine