• June 19, 2018
    Last updated 6 minutes ago


What’s the point of credit shield?

Although he has been paying for credit shield since 2012, reader is told he cannot get its benefits

15:05 March 14, 2018

I am writing to highlight my situation with First Abu Dhabi Bank (FAB).

I have been holding an FAB credit card since 2012 and have been using the card as regularly as required. Also, I have been making all my payments on time. I have been paying for credit shield facility since 2012, as well. My statements from 2012 show that I have been making the payments regularly.

I was terminated from my job in May 2017, and after due negotiations with my company for an alternative position and having been declined other options, I approached the bank for credit shield benefit.

I filled the application forms as required and was informed that the approval would take two to three months. I have not been able to secure a suitable employment offer since then and am still waiting for a good offer.

In the meantime, the bank has yet to approve my credit shield and now, the bank is threatening to initiate legal proceedings against me to recover the dues. When I approached the bank asking why, they informed me since I had stopped making my monthly payments after I lost my job, my credit shield application had been rejected.

I do not understand how am I expected to make the payments when I am unemployed, and what is the purpose of involuntary loss of employment credit shield when it does not benefit me during the days in which, I am unemployed?

I have been paying for credit shield since 2012 and finally, when I need to use it, my application has been rejected.

I urge Gulf News to please highlight the issue to the concerned department at FAB, and to help find an amicable solution this issue.

From Mr Nihaz M. K. Mullakoya


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 the customer and the matter has been resolved.

Mr Mullakoya responds:

Yes, I received a call from FAB and they have confirmed that my credit shield has been approved. I had to wait for seven months for the approval and it would not have been possible without the help from Gulf News. I am grateful.

(Process initiation: February 3, 2018. Response from organisation: February 20, 2018. Response from reader: February 20, 2018.)

Editor’s note: Do you have similar issues that you would like to raise with us? You can write to us at readers@gulfnews.com.