I am writing with regards to a loan settlement I have with Citibank. I am unable to communicate my situation to Citibank, despite many attempts — verbal and written. I would greatly appreciate if Gulf News could look into this matter.

I applied for a loan in January 2011, for Dh119,000. I requested the bank to consider the fact that I paid over Dh165,000 for a loan of Dh119,000. This is Dh46,000 more than the capital, plus a considerable component of interest. I am left with an outstanding amount which, I cannot pay, as I am currently unemployed and have been, since January 2015. Right after I lost my job, I had offered the bank a smaller settlement amount, which I was able to put together in order to receive the liability letter from the bank.

I was uncertain how long I would need, to find suitable employment to continue my regular payments, but the bank refused to acknowledge this and demanded the total outstanding. Now, I have no savings left and I have no stable income to pay the outstanding. I have been communicating this to the bank officials for the past year and despite many requests — written, verbal and face-to-face — they are not willing to consider a favourable solution and intend to initiate a travel ban and police case upon me.

I am still on the lookout for a job, but cannot make a commitment as to when I might be able to pay this amount. Initiating a travel ban and legal case only makes it much harder for me to secure a job in order to consider payments. Every email I have sent to the bank has been met with a standard reply, with no consideration to my request. The last face-to-face communication I made with them was in June 2016 and I presented the same proposition, which they refused to entertain.

From Mr Mohammad Hassan Deen

Abu Dhabi

The management of Citibank responds:

We write with reference to the complaint communicated to us on November 15, 2016, with regard to the travel ban and police case related to the outstanding on a loan granted by Citibank to one of your readers.

Please note that when applying for a loan, our customers are informed about the related conditions and financial aspects of the product.

Moreover, the term’s principal amount, total loan amount, total interest charges, monthly instalment, number of instalments, instalment start date, applicable interest rate are detailed and defined in the loan application form as well as the General Terms and Conditions.

In consideration for Citibank agreeing to make available the loan, the Customer agrees to pay (by monthly instalment on the payment dates) the total loan amount to Citibank.

The total loan amount is calculated as the aggregate of the principal amount, payment protection premium (if any), commission charges and all amounts and interest charges that may be payable pursuant to or in connection with such loan.

According to Citibank’s General Terms and Conditions, in the occurrence of a payment default by the borrower, the outstanding balance of all loans along with all accrued interest, charges and fees shall immediately become due and payable and Citibank shall have the right to demand the immediate payment of all such amounts.

In addition to the above, please note that the customer has been contacted by our collections representative and his concerns have been addressed.”

(Process initiation: November 15. Response from organisation: November 21. Process completion: December 3).

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.