As part of the Debt Panel, The National published an article on a resident struggling with debt and Ambareen Musa’s response on how they can handle the issue.
I work for a UAE bank and have credit cards with five UAE financial institutions with outstanding balances of approximately Dh55,000. I also have a personal loan of Dh25,000 with another bank. I’ve been working in Dubai for more than two years and live in Sharjah. I want to clear my cards by converting them into a personal loan or by some other way. I am aware of debt reconciliation and card buyout methods available in the UAE but being a banker I can’t transfer my salary to avail these facilities. Also as per my research, none of the financial institutions offers these facilities to bankers. Can you suggest a way out?
Here is what Ambareen Musa had to say:
I am glad to hear that you’re trying to sort out your personal finances before you further fall into a debt spiral. In your case, your total debt amounts up to about Dh80,000 which is a manageable amount, and with a change in mindset and determination, it can be paid off. Since you have five credit cards, you need to focus on cancelling them as this form of debt can quickly and easily accumulate. Between the five credit cards, aim to pay off the ones with the highest interest rate first as you want to get rid of that sooner. After that, work towards paying off the cards with the lower interest.
For full article go to The National