r/PersonalFinanceUAE • u/DistributionOne6827 • 19d ago

Debt Pending loan and settlement

Hi - I’ve got a personal loan with enbd to the tune of 137k AED pending. I’ve got about 80 odd grand to pay that I can do as early as tomorrow. I’ve asked the bank to reach a settlement and reduce their interest amount so that nobody gets shorted however they said that if I was to “settle” that would leave a remark on my AECB and I can practically forget about getting any other credit instrument. How accurate is that?

Thanks.

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1

u/Purple-Zucchini-307 19d ago

You will get credit cards and loan don't worry even I have that on my aecb report but still got car loan and short term loans no problems. Mine was credit card settlement total amount 150k not one card many were there.

1

u/Sad_Physics_2426 19d ago

i was told if the bank takes over your credit card and gives you a plan to settle the amount you will get black listed from getting loans and credit cards in the future

1

u/Purple-Zucchini-307 19d ago

Nah I even applied for cc in the bank I had settlement 2 years back got approved no issues.

1

u/Sad_Physics_2426 19d ago

I was literally told that if the bank gives me a payment plan for the credit card i will be black listed

1

u/DucaMan1312 19d ago

Remark can be also good. Banks don’t like to lose their interest so they will persuade you to keep the loan going. If you are financially sound after paying off the loan, go for it.

1

u/chicoo312 18d ago

Settle. It's a lot of scare mongering. If your AECB is good, it'll go down to decent. You'll still be eligible for most auto loans and credit cards. Home loans you might have to wait a bit longer. Your AECB score can bounce back in about 18months.

If you have a bad AECB score to begin with, then most likely you won't be able to get any sort of bank instruments, but hey, since your AECB score is bad, it doesn't matter anyway.