Since 2013 I always heard my friend complaining about her financial situation. She has a loan which increases the amount to almost 70% only because of the interests.
She was open to discussing it, how it happens and why she is in that situation. Something too personal which involves her family’s health that’s why she had overused the credit card.
Before that, everything was fine with her. She manages to survive despite having a low salary as she is a practical person and not impulsive.
She was confident that she will never ever be in “bad debt situation”. But, she was wrong she forgot that expat life in Dubai is unpredictable.
Later on, she faces some difficulties like unexpected expenses, emergency expenses from family back home, delays of salary etc.
One day a credit card agent from Dunia Finance approaches her if she wants to apply for a credit card. The offer looks good, documentations are easy and most of it, her salary is qualified so she applied.
Dunia Finance granted her applications. At first having that card looks a good idea, it helps her a lot in managing her expenses. It serves as her back up every time she is strapped for cash.
Never ever came in her imagination that the little plastic card is treacherous and powerful. It has the power either to help or wreck someone’s life.
When she reached the maximum limit of the card she was so worried about what to do, most people advised her to convert it to loan to minimize the interest and at least the amount she will be needing to pay monthly would be in fixed rate.
She coordinates with Dunia Finance, she asked their opinions for the best solutions. The agent suggests to convert it into a loan, after the discussion and explanation, she is convinced that it will be the best for her situation. She agreed to have the 60 months terms as based on the given details it would be more affordable for her. And anyway she doesn’t have any options that time.
To cut it short, her initial credit of AED 36K reaches to AED 42k, after Dunia adds the applicable interest on the terms she requested.
With this figures, she thought that she would only pay AED700.00 a month (During that year every request can be done over the phone and no necessary documents to fill out as long as you have an existing account with them I’m not sure if same rules apply today)
In her shocked upon receiving the first statement, she needs to pay an amount of AED1967 per month.
She can’t believe it, she rechecks everything but unfortunately, the figures are right.
Dunia is not cooperative at all no matter how hard she explains that there is a misunderstanding on the amount that she needs to pay.
Now 3 years passed and she still paying for that, imagine how greedy this financing company is. 22 more months and she will be free from this Hunger Beast institution.
She really regrets her decision, but she is a brave girl, a fighter. She accepted that there is negligence on her part and she needs to face the consequences. But, the huge amount of credit interest is really too much and unacceptable.
She felt robbed an amount of AED 76, 020.00 🙁 what a wrong a move.
Another worst thing she experiences from Dunia Finance is in regards to the discrepancy of the actual statement of account. The minimum amount to pay is not the same comparing to the online portal it is either higher or lower.
In case you overlooked and mistakenly paid for a lower amount, congratulations another penalty will be added to you. And when you call them to complain you just totally waste your energy and time as nothing will happen at all.
So as her advice to all OFW here in UAE, be careful in every decision you will do, especially in financial matters, having loans are not wrong at all as long as you know how to use that amount properly and you can manage your monthly dues.
As much as you can avoid dealing with Financial Institution specifically Dunia Finance, in her case, it is really hard to negotiate with them for missed payment no matter what your reasons are.
If you can survive without taking credit card or loan good for you be proud to yourself! but if not and really need to apply for it, deal only with Bank. It is definitely safer, some banks are flexible and of course, their terms are more transparent than financing company.
A background check and comparison in terms of the loan/credit interest would be a help to decide which bank you would go to, visit few forum page to see if that bank has a good reputation in the market
But in case you don’t have any choice, and the only option is to deal with Dunia Finance, please remember below description according to each letter of their name to help you decide whether to deal with them or not.
D – Debt trap
U – Unprofessional staff
N – Nightmare of your life
I – Inconvenient
A –Animalistic, the amount of interest they are adding is really inhuman!
Many Filipino expats are suffering from this company and I do hope they will recover very soon.
If you are one of them be positive and strong you can find a way to solve it and it will end eventually, never ever lose hope.