UAE floods: Banks to defer personal, car loan payments
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UAE floods: Banks to defer personal, car loan installments for 6 months

UAE floods: Banks to defer personal, car loan installments for 6 months

The central bank said banks will not impose additional fees, interest or profits for loan repayment deferrals

Kudakwashe Muzoriwa
UAE banks to defer personal, car loan instalments for 6 months

The Central Bank of the UAE (CBUAE) has urged banks and insurance companies to allow customers affected by severe weather conditions to defer personal and car loan repayments for six months.

The apex lender said banks will not impose additional fees, interest or profits for loan repayment deferrals.

CBUAE clarified that the damages to vehicles and homes as a result of the heavy rains that lashed the country last week are covered by insurance “if there is an insurance policy against loss and damage” – comprehensive insurance.

“The insurance companies shall be considered responsible for indemnification,” the central bank said on Monday.

The UAE central bank further said that property owners, whether homes or buildings, covered by insurance are entitled to have their properties repaired from damages caused by heavy rain and severe weather conditions.

The central bank advised the public to approach SANADAK, the financial and insurance ombudsman, if they have a complaint or dispute with the insurance company.

UAE real estate developers to offer free repair services

Dubai real estate firms, Emaar Properties and MAG, pledged to repair properties that were damaged by heavy rains last week free of cost.

“In response to the challenges posed by this adverse weather and heavy rains that Dubai has experienced in the past few days, I am pleased to announce that Emaar will undertake the repair of all properties within our communities that have been damaged by the recent rains at its own cost,” said Mohamed Alabbar, chairman of Emaar Properties.

Read: UAE rains: Which free repair services are Dubai developers offering?

Emaar has delivered approximately 108,000 residential units in Dubai and other global markets since 2002.

Meanwhile, Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of The Executive Council of Dubai authorised a series of initiatives and measures on Saturday to mitigate the impact of the severe weather following last week’s heavy rains.

Sheikh Hamdan directed the Dubai Land Department and the Real Estate Regulatory Agency to coordinate with property developers to expedite the restoration of normalcy.

Residential management companies and real estate developers in the emirate will offer the following services at no additional charges – alternative housing for residents affected by the weather, distribution of food within affected communities, pest control services; enhanced security to ensure the safety of residents and assistance residents returning to their properties.

Read: Dubai greenlights initiatives to mitigate impact of severe weather

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