UAE Banks May Delay Loan Payments for 6 Months After Storm

  • Publish date: Tuesday، 23 April 2024
UAE Banks May Delay Loan Payments for 6 Months After Storm

The Central Bank of the UAE (CBUAE) released a notice instructing banks and insurance companies to defer loan repayments for customers impacted by recent severe weather conditions. This move is aimed at helping individuals affected by the heavy rains and floods.

Loan Repayment Deferrals

Banks and insurance companies have been directed to provide a six-month deferral on personal and car loan payments for those affected by the weather. The deferral will be offered without charging any additional fees, interest, or increases in the loan's principal amount.

Insurance Coverage for Weather Damages

The Central Bank also clarified that damages to vehicles and homes caused by the recent weather will be covered by insurance if the property has comprehensive insurance coverage. Insurance companies are responsible for compensating policyholders for damages.

Advice to Policy holders

The Central Bank encourages policyholders to thoroughly understand their insurance policies to ensure their rights are protected. In case of disputes or complaints with insurance companies, individuals can seek assistance from SANADAK, the financial and insurance ombudsman.

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