# Moving from Dubai to Singapore with outstanding loan



## donkie (Oct 1, 2011)

Hi,

I've been offered a job by my current company but it entitles moving from Dubai to Singapore. My concern is that I still have a personal loan outstanding with a bank which I've been religiously paying off for 2.5 years and still have 2.5 years left of payments to do.

I've every intention of paying my loan completely but I'm baffled as what to what to do next. The cleanest thing to do is to pay off the loan completely but I'm in no position to do so right now as the balance is still huge as the first 2 years of payment was mainly applied on the interest. I want to try and call the bank to discuss my options but I've been advised not to do so as they might freeze my account. Not sure if the travel ban rumors are true but don't want to risk that too.

Tried searching on the internet as to how people with similar cases dealt with this but no such luck and the threads were open-ended.

Can anyone please give me some suggestions?


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## Maz25 (Jul 6, 2008)

Your company is legally obligated to notify the bank and identify your last salary as such. As soon as the bank sees that this is indeed your last salary, they will immediately freeze your accounts.

Whilst you are moving abroad but staying with the same company, they will have to pay out your gratuity under UAE law before you leave (and I'm assuming that they have given you a new contract which complies to Singapore's laws), triggering the 'final salary' saga, which results in accounts being frozen.

The bank will also not allow you to close your account until you have paid off all your debts. I can't comment on the travel ban as fortunately I've never had to deal with this issue. Will your gratuity payment not cover the loan?

I would suggest that you speak to your company and explain the situation to them - hopefully, they can offer you a few options but if all fails, your only option would be to be to somehow find the money and pay off the balance.


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## donkie (Oct 1, 2011)

Maz25 said:


> Your company is legally obligated to notify the bank and identify your last salary as such. As soon as the bank sees that this is indeed your last salary, they will immediately freeze your accounts.
> 
> Whilst you are moving abroad but staying with the same company, they will have to pay out your gratuity under UAE law before you leave (and I'm assuming that they have given you a new contract which complies to Singapore's laws), triggering the 'final salary' saga, which results in accounts being frozen.
> 
> ...


Thanks for your reply. I will speak to my company to see if we can work something out. Will keep you posted.


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