I have been holding paying the credit shield charges on my credit cards ever since they were issued in 2013. An agent at the National Bank of Abu Dhabi (NBAD) contacted me and activated the credit shield, saying that in case of job loss, the credit shield coverage would pay 10 per cent of the outstanding for a period of 10 months.
When I lost my job, I tried to claim the credit shield insurance by submitting the termination letter, the passport copies and the card copies to the bank’s Sharjah branch in March 2016. The bank said that it would be processed within five working days.
Now, the bank is not agreeing to approve the same.
I am also ready for a settlement with the bank, if they can reverse the credit shield charges, which are around Dh21,600 from my outstanding amount, along with the other financial charges. My credit limit on the cards was Dh48,000 and the present outstanding is much more than that.
I would request Gulf News to intervene in this issue and help me solve the matter with NBAD.
From Mr Roy Simon
Sharjah
The management of NBAD responds:
Thank you for the constant cooperation and communication with us in the endeavour to best serve our customers and resolve their issues.
We have investigated Mr Simon’s complaint and here is our feedback.
Mr Simon has a credit card with NBAD. He had enrolled in our credit shield program in August 2013. He lost his job on July 1, 2014, however, he submitted the credit shield claim at one of our branches only in March 2016. As per our credit shield terms and conditions, the insurance claim for involuntary loss of job should be submitted within 90 days of termination of employment. As a result of delayed submission, the insurance claim was declined by the insurance company.
We have contacted Mr Simon and have addressed all his concerns.
Thank you once again for forwarding the complaint to us. Our customers’ experience is very important to us and we are thankful for the opportunity to respond.
Mr Simon responds:
They have rejected my claim, saying that I did not claim it within 90 days. I was never informed about these rules and regulations at the time of enrolment. I was only told that in case of involuntary job loss, the bank would cover and continue to pay 10 per cent of the outstanding for the next 10 months.
It is the duty of the bank to inform customers that credit shield claims are not applicable after 90 days, if the customer has not applied for it within that period of time.
It is my humble request to readers to understand their credit shield insurance in detail before enrolling for credit shield. I would request Gulf News to intervene, as the bank is not resolving my issue.
The management on NBAD responds:
Thank you for raising Mr Simon’s concerns with us. We have contacted him again and have clarified to him that the Credit Shield terms and conditions are available to all our customers on NBAD’s website and are also enclosed in the welcome pack sent along with the Credit Card. Unfortunately, as a result of delayed submission, the insurance claim was declined by the insurance company.
Thank you once again for forwarding the complaint to us. Our customers’ experience is very important to us and we are thankful for the opportunity to respond.
Mr Simon responds:
This has not helped me in any way, but I have taken a huge loss, as I have been paying for the credit shield. I want Gulf News to inform readers about the credit shield insurance. It’s something that is very difficult to claim even if you are eligible.
The management of NBAD responds:
We had again escalated Mr Simon’s complaint to the insurance company and we would like to inform that they have once again declined his claim based on delayed submission.
Thank you once again for forwarding the complaint to us. Our customers’ experience is very important to us and we are thankful for the opportunity to respond.
(Process initiation: May 31. Response from organisation: May 31. Process completion: June 26.)
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.
