Over limit charges

We have been using First Abu Dhabi Bank’s (FAB) credit card since March 2017, and have been making full outstanding payments every month. In November 2017’s statement, they charged an over limit fee of Dh275. Upon enquiry, the call centre representative mentioned this as a feature (shadow limit) which allows five per cent of the card limit to be used over the total limit. The call centre representative also advised us to check and follow the SMS received on the available limit and to stop purchases when the limit was reached.

In our case, we have a primary card and a supplementary card but the SMS was received only on one number, which belongs to the primary card holder. So how is the supplementary card holder supposed to know that he/she has crossed the limit? With this lack of information for both card holders, and considering the number of transactions made every month, it is not logical to follow up after every transaction and sometimes there are delays in receiving an SMS after a transaction is made.

First, we did not opt for this feature, and as in the case with cards we currently own from other financial institutions, the transaction is automatically declined when the limit is reached. FAB does not provide an option to the consumer to deactivate this over-limit feature, but will charge by forcing the feature onto the consumer. I hope that readers take whatever precautions are necessary to protect their finances. I have had an extremely negative experience and response from FAB.

From Ms Rashmi Murali

Dubai

The management of FAB responds:

FAB supports the growth ambitions of its stakeholders and goes beyond financial products and services, and as such, we are grateful for all customer feedback as we strive to consistently deliver the highest standards of service. The bank has been in contact with Ms Murali and the matter has been resolved.

Ms Murali responds:

The charges were refunded on January 27, 2018, and it was reflected in the February statement. Thank you for following up.

(Process initiation: January 13. Response from organisation: February 4. Process completion: February 21.)

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