Even though the vast majority of non-resident Indians will move in another country for employment, new opportunities and a new way of life, it appears that many are still falling into debt traps. In reality the UAE authorities have come toward confirm that money lenders are becoming more common within the Indian and the Philippine expat neighborhoods. Many of them are charging more than 10% every month for relatively small loans which can easily spiral out of control and leave individuals in debt for many weeks or even years to come. moneylender
This is not a fresh problem for the expat community around the world however when you bear in mind the ongoing economical uncertainty it is one which is actually more prevalent than it ever has been. Various expats will move to pastures new in the hope of beginning a new life, often guarantees of employment which failed to materialise or other benefits which are not always needlessly to say when they arrive.
Fighting the money lenders
Unofficial and not regulated moneylending is still a crime in the Combined Arab Emirates and as such those who become entrapped by the unlawful gangs should approach the relevant authorities. Even though a lot of the expat community may feel somewhat distant from the UAE authorities the truth is that they can be still there to help and if a crime has been committed then they need to be made aware of it.
All of us have seen instances of individuals taking short-term lending options in the hope of repaying them after one month with a 10% charge on top. Credited to the difficult worldwide employment environment this is simply not always possible and delayed obligations can often lead to excessive charges which get started to grow very quickly.
Withholding documentation and loan ensures
One issue which is starting to become more and more of a problem for the expat community is the fact that many of these money financing gangs insist on maintaining some type of documentation to warranty the loan. Indeed there have been instances of passports being confiscated by gangs before the spectacular funds are repaid which itself is unlawful – passports are the property of the underlying country of issue.
As the financial pressure continues to build, important documentation is confiscated and sometimes even loan guarantees are needed from family members, the pressure has become too much for some expatriots. However, there may be hope, there are people who will help but before the relationship between the expatriate community and the Combined Arab Emirates authorities boosts the cash lenders will always prosper.
When you take into account the price tag on moving to any country, potential difficulties with work, short-term bills to pay and accommodation to find, it is not difficult to realise why so many in the Indian expatriate community have been convinced by the criminal moneylenders. While the UAE regulators are incredibly keen to secure down after the illegitimate moneylending they do need the co-operation of patients.
There are methods of digging yourself out of a financial hole without taking on more potential problems and debt via moneylenders. There are various UAE government departments specifically assigned to helping those struggling financially and they are more than ready to guide you and help you.