Leaving the UAE with car and property loans outstanding
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Leaving the UAE with car and property loans outstanding
I wanted to get a general consensus from the guys who are leaving the UAE How they will work to settle their debts before leaving the country ? as a result of being terminated from the major airlines Just how are the UAE banks responding to the crisis caused by Covid Situation After the release of “A LOT” of Pilots?
Historically , I have heard some leaving without settling the financial affairs or doing a runner as they say, this must be or will cause some headaches for some of the Banks a scenario not too different from the property crash of 2010.
How is the Emirates handling of bouncy cheques, families leaving in droves or waves and when or how long will this pan out?
will the airlines and banks honour the end of service benefits Monies to be released after years of service in the UAE? Off course properties will be repossessed, cars impounded Etc but still it’s does paint a bleak financial picture for those affected and no easy comfortable orderly way to guide ones way thru the maze or to even see the light at the end of the tunnel.
Historically , I have heard some leaving without settling the financial affairs or doing a runner as they say, this must be or will cause some headaches for some of the Banks a scenario not too different from the property crash of 2010.
How is the Emirates handling of bouncy cheques, families leaving in droves or waves and when or how long will this pan out?
will the airlines and banks honour the end of service benefits Monies to be released after years of service in the UAE? Off course properties will be repossessed, cars impounded Etc but still it’s does paint a bleak financial picture for those affected and no easy comfortable orderly way to guide ones way thru the maze or to even see the light at the end of the tunnel.
If you still plan on flying commercial jets I would find a way to pay off the loans or negotiate something. Reason is that you cannot rule out passing thru the UAE in the future and the risk of getting caught then is too high.
If you are 55yrs old or older or have an alternative then just leave.
If you are 55yrs old or older or have an alternative then just leave.
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Which of course would make you a thief! And that ends up driving up the fees and charges for the rest of us who do the honourable thing...
As difficult as things are it's better to at least try and do the right thing - you can try negotiating for a start. If you don't ask you don't get!
As difficult as things are it's better to at least try and do the right thing - you can try negotiating for a start. If you don't ask you don't get!
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Not entirely. It would make you a 'Loan defaulter'. The equity on which the loan was based would still be there (even if it were a vehicle, I doubt you'd get it exported successfully). A thief would not pay off the loan and also make off with the assets.
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stick flying..
you will not be able get export certificate Car until all loans are paid this I know. It is similar situation if you have loan on house, the deposit you paid is the equity and any repayments made reducing capital. But unfortunately the house/apartment prices Have gone down due to economic and covid so in some cases I think people could be caught out with negative equity then Who is the thief.
you will not be able get export certificate Car until all loans are paid this I know. It is similar situation if you have loan on house, the deposit you paid is the equity and any repayments made reducing capital. But unfortunately the house/apartment prices Have gone down due to economic and covid so in some cases I think people could be caught out with negative equity then Who is the thief.
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Anilv
I believe the age thing will hit you hard in more ways then one, as the chances of getting a job will be compounded with excess unemployed airbus pilot numbers on the market. Also be aware that you may end up on Interpol wanted list if defaulting on debts depending where your from.
I believe the age thing will hit you hard in more ways then one, as the chances of getting a job will be compounded with excess unemployed airbus pilot numbers on the market. Also be aware that you may end up on Interpol wanted list if defaulting on debts depending where your from.
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Leaving with an unpaid debt is not theft. It is breach of contract and the bank has all the usual remedies available under law. Of course they will lose the leverage of throwing you in jail for bouncing a ridiculous security cheque. Then you can negotiate from a position of strength rather than weakness.
The listing with Interpol is nonsense. You can look up all the red notices on their website and there are zero for the UAE. I suspect the banks got their arses handed to them in 2009 for abusing the system.
The listing with Interpol is nonsense. You can look up all the red notices on their website and there are zero for the UAE. I suspect the banks got their arses handed to them in 2009 for abusing the system.
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Bank fraud is a crime pretty much everywhere. Leaving a country with debt is not an internationally recognised crime and therefore, interpol cannot be used. If you were to be held as a result of a "red notice", extradition to Dubai will not be enforced as the crime must be recognised by both countries. Dubai has been flagged in the past for abusing the use of interpol and red notices before. In 2017, any debt under 200,000 AED has been re-categorised as a misdemeanour and no prison sentence can be passed.
https://www.fairtrials.org/news/end-dubai-debt-sentence
https://www.fairtrials.org/news/end-dubai-debt-sentence
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Leaving with an unpaid debt or making use of 'run, Forrest, run!' mode ...
Just a question: is no longer required to provide a bank clearance letter before receiving all EOSB, including payment, tickets, etc.?
Just a question: is no longer required to provide a bank clearance letter before receiving all EOSB, including payment, tickets, etc.?
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The change to the law that what-to-do mentions is Decision No. 88 of 2017, that grants public prosecutors the ability to replace court trials and jail sentences with financial penalties in certain misdemeanor and minor offences, with fines being capped at 10K AED. I did read that this law is limited to Dubai but I stand to be corrected.
Banks do seem to be flexible with restructuring debt after you have left the UAE.
Banks do seem to be flexible with restructuring debt after you have left the UAE.
short flights long nights
Regardless of the law. If I did a ‘ runner’.. I’m not sure how comfortable I would feel at night. I would be worried that a letter may arrive in my letterbox at anytime ( if they could track me down). But it’s a choice that each individual must make.
I could not do it.. but if you think you can.... make a choice
I could not do it.. but if you think you can.... make a choice
Some years ago a colleague of mine did a runner on JAL. He was on a contract based in Hawaii with them. He wasn’t home long before he started getting letters from a US law firm. He declined to participate in any of the proceedings against him as he wasn’t a resident of the USA nor a citizen. Nevertheless the judgement went against him and his wages were garnisheed at source. Didn’t exactly impress his current employer. Basic trustworthiness perhaps?
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One more thing that may need to be evaluated before making any decisions is what about the insurance companies and credit scoring for future loans mortgages. There is also black lists floating around that some of these people will not hire you in the future not that many terminated employees would care about that.
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White Knight
Well before you get all high and mighty, ask yourself how many times EK and others have screwed over pilots and their families. They are no angels either so maybe lay off the holier than thou judgment!!
Well before you get all high and mighty, ask yourself how many times EK and others have screwed over pilots and their families. They are no angels either so maybe lay off the holier than thou judgment!!
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Banks give a loan based on risk assessment, that there doing. No one could have perceived this damn situation. In the West we have the option of negotiation and bankruptcies.
Don't put all this on your shoulders. this is force major, do the best you can and keep your family as the #1 priority. Best of luck to you all . No one has the right to judge you.
Don't put all this on your shoulders. this is force major, do the best you can and keep your family as the #1 priority. Best of luck to you all . No one has the right to judge you.
Last edited by neilb767; 20th Aug 2020 at 02:50.
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Originally Posted by Daddy Fantastic
White Knight
Well before you get all high and mighty, ask yourself how many times EK and others have screwed over pilots and their families. They are no angels either so maybe lay off the holier than thou judgment!!
Well before you get all high and mighty, ask yourself how many times EK and others have screwed over pilots and their families. They are no angels either so maybe lay off the holier than thou judgment!!
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White Knight
I agree people should try and sort out their debts in an amicable way with the banks.
People ‘shouldn’t’ over extend themselves of course, but who takes a mortgage of however much if the have the money to pay for the property? If that were the case then no one under the age of 50 would buy a house and then what a fix the banking industry would be in.
The problem comes when people through little fault of their own have a large negative equity debt in their property and find themselves in UAE and stuck....then what do they do ?
I agree people should try and sort out their debts in an amicable way with the banks.
People ‘shouldn’t’ over extend themselves of course, but who takes a mortgage of however much if the have the money to pay for the property? If that were the case then no one under the age of 50 would buy a house and then what a fix the banking industry would be in.
The problem comes when people through little fault of their own have a large negative equity debt in their property and find themselves in UAE and stuck....then what do they do ?
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By over extend I'm talking about some of our colleagues who have mortgage, car loan, personal loan, boat loan which when all combined is indeed a terrible over extension of financial capability. I know many people here at EK who've got themselves into this situation which is very unfortunate in times like these.
Besides, doing a runner will invariably be found out about one way or the other by the HR department of the next airline you apply to join!
Besides, doing a runner will invariably be found out about one way or the other by the HR department of the next airline you apply to join!