Listed below are the commonly asked questions relating to our products and offerings.


Frequently Asked Questions


Introduction To Islamic Banking

How does Emirates Islamic ensure that the banking operations are as per Islamic Shari'a requirements?

Emirates Islamic operations will be under supervision of Shari'a board comprising of key Islamic scholars conversant with the Islamic Shari'a and under independent management.

What is Murabaha?

Murabaha is the sale of goods as ordered by the buyer/ customer with a price consisting of cost plus promised profit margin paid on deferred installment payment.

Are the Islamic bank products & services restricted to only Muslims?

Emirates Islamic welcomes & will provide products & services to customers irrespective of religious affiliations.

What is Shari'a?

Shari'a is the revealed principles represented in Quran & Sunna (Prophet Mohammed 's (PBUH) traditions) to govern & control all aspects of Muslim society.

What is the difference between interests vs. profit based systems?

Under the interest-based system deposits are taken as loan from customers to the bank & a fixed return is guaranteed to depositors regardless of the performance of the institution. Islamic bank receives deposits to invest them on behalf of depositors & shareholders and the profit is shared between depositors & shareholders.

Conventional banks give loans at a fixed rate without any risk on their part while under Islamic banking system, the bank shares the profits & losses from investment and bears the risk of investment.

What currencies does Emirates Islamic deal in for deposit accounts?

Emirates Islamic shall be offering savings / Term deposits accounts in AED & USD only. However, current account will be offered in all major currencies.

Current Account

How can I apply for Emirates Islamic A/C?

When the Murabaha is approved, an Emirates Islamic current account will be automatically opened for you.

Murabaha: When the Murabaha is approved, an Emirates Islamic current account will be automatically opened for you.

Can I open a joint Emirates Islamic account?

Yes, you can open a joint Emirates Islamic account. Each of you will be able to operate the account independently or jointly. However, for some functions, you will have to give joint authorizations such as opening/closing of accounts. You cannot open a joint account with an individual who is less than 18 years of age.

Can I open a minor Emirates Islamic account?

Yes, an Emirates Islamic account can be opened for a minor who is less than 18 years of age, without a Cheque Book facility. The account will be opened and operated by the Guardian.

Which currencies I can open the Current account in?

Current account will be offered in all major currencies.

Investment Savings Account

Which currencies I can open the Investment savings account in?

You can open a savings account in AED and United States Dollars (USD).

In the Investment savings account, is there any restriction on deposits or withdrawals?

There is no restriction on the number of withdrawals or deposits. However, cash withdrawals in foreign currencies, are subject to availability and charges. In addition, cash deposits in foreign currencies are subject to charges.

Investment Time Deposit Account

How can I apply for an Investment Time Deposit account? Time Deposit is an off-line request and you can apply for it through 'New accounts' function. The application received by the bank one hour before the end of banking hours will be processed on the same day and applications received after that shall be processed on the next working day.

In case of joint account holding the application can be processed only after authorization of application by second party (joint holder).

How can I give Investment Time Deposit withdrawal instructions?

You can give withdrawal instruction through 'Request/FD Instruction' option. In case of joint accounts, the instructions will be processed only after authorization of the same by second party (joint holder). Request sent by the originator will automatically be forwarded to the joint account holder (second party) for approval.

The joint account holder will then have to login and click the same option as requested by the originator and approve the instructions pending approval. On approval of request by the joint account holder, the application will be forwarded to the bank for processing. If the application is rejected by the joint account holder then the intimation will be sent to the originator and the request will not be processed by the bank.

Credit Cards

What is the Emirates Islamic Credit Card?

Emirates Islamic Credit Card is a credit card, which is fully and truly compliant with Shari'a principles. No interest is charged on the outstanding amount of the credit card. The card retains the flexibility and convenience associated with normal credit card.

What is the Islamic concept used in Emirates Islamic credit card?

The card is based on Isaiah or service charge. In this case, a yearly service charge is levied depending on the credit card type.

How does Emirates Islamic credit card work?

The card works similar to conventional credit cards; however, Emirates Islamic credit card is a Shari'a compliant card (no interest, no hidden cost). The card only charges an annual fee which is payable on a monthly basis.

Is Emirates Islamic Credit Card the same as charge card?

Emirates Islamic credit card is NOT the same as charge card. The card allows customer to pay a minimum monthly amount of the outstanding balance or AED100 (whichever is higher) as opposed to charge card where full amount is payable on payment due date.

What are the features of Emirates Islamic credit card?

  • Allows minimum payment of the amount outstanding.
  • In harmony with the principles of Shari'a which gives the client peace of mind
  • Effective financial planning as the customers know the true cost of using the credit card
  • Transparent pricing and no hidden charges

What are the product benefits?

  • Worldwide acceptance at over 30 Million establishments
  • Free supplementary Cards
  • Cash Advance Facility
  • Up to 55 days grace period
  • Free access to online banking
  • Utility bill payments
  • 24 hours assistance through a dedicated call centre
  • Free card delivery
  • ettlement by cash/cheque or direct debit to your Emirates Islamic account

How and where can I make my Monthly Card Payments?

For the monthly payment of your Emirates Islamic Credit Card bill (which can be as the minimum monthly amount of the outstanding), you can simply use any of the following payment channels:

Cheque Payments: through the Drop Box, which is, available at all designated branches. Please remember to write your name and Credit Card number at the back of the cheque. Payment by cheque is first sent for clearing and only after funds are received, payment is posted to your account. This procedure takes approximately 3 to 5 working days.

Pay Bills Online: As an Emirates Islamic account holder, you can pay your monthly Credit Card bills online. Just visit www.emiratesislamicbank.ae and log into your online banking. If your Credit Card account is not linked, then simply call our Customer Service Centre on 600 599995 for assistance.

Auto Payment Facility: Online Schedule your monthly bill payment through BankNet (online banking) by using the Auto Payment Transfer facility. If you hold an Emirates Islamic account you can arrange for your monthly bill to be automatically deducted from your account - all at the click of a button.

Cash at Counter:
You can make cash payment at all Emirates Islamic branches during banking hours.

Cash Deposit Machines: You can make your Credit Card payment through our Cash Deposit Machines even if you don't have the physical Card with you. All you need is your card number.

Is there a fee/charge for cash advance?

A fee of AED 90 per transaction will be levied for cash advance; cash advance per transaction is limited to AED 3000 for all credit card types.

Is there any cost for replacement of card?

Yes, there is a fee of AED100 for card replacement irrespective of credit card type.

What are the eligibility criteria for the Emirates Islamic credit card?

Criteria Segment Minimum Income Criteria
Expats Approved Employer with Salary Transferred to Emirates Islamic AED 5,000
Approved / Un Approved Employer with Salary Not Transferred to Emirates Islamic AED 8,000
UAE Nationals Approved Employer with Salary Transferred to Emirates Islamic AED 5,000
Approved Employer with Salary Not Transferred to Emirates Islamic AED 7,000
Un Approved Employer with Salary Transferred to Emirates Islamic AED 8,000
Un Approved Employer with Salary Not Transferred to Emirates Islamic AED 15,000
Self Employed AED 20,000
Card Against Investment Term Deposit minimum income AED 5,000 or minimum pledge amount to be AED 60,000
Priority minimum income AED 20,000 & AED 100k deposit or minimum pledge amount to be AED 60,000

Infinite cards: "Minimum income is AED 25,000 for all segments"

What are the documents required for the Emirates Islamic credit card?

  • Passport or ID copy
  • Undated security cheque for full credit limit plus 5%.
  • Previous bank statements (only for those who don't have an account with Emirates Islamic Employment Information (I.e. Salary Certificate, trade license and financials)

Any charges levied for statement copy request?

A fee of AED25 will be levied per monthly statement provided the requested statement is less than 3 months. For any request of statement copy, which is more than 3 months, a fee of AED100 per copy will be levied irrespective of the card type.

Any Late Payment fees?

A late payment fee of AED 180 will be levied if minimum payment due is not made on or before the due date.

Murabaha

Can I apply for Goods Murabaha online?

No, currently you need to visit one of our branches for applying.

Do I need to have an account with Emirates Islamic to apply for Goods Finance?

No, you can apply for Goods Finance even if you do not have an Emirates Islamic account. If you have applied for Goods Finance and you do not have an account, your Emirates Islamic account will be automatically opened once your application is approved.

Do I have to transfer my salary to get Goods Murabaha?

Yes, it is mandatory for you to transfer your salary to Emirates Islamic in order to qualify for Goods Murabaha. However salary transfer is not required if you can complete the conditions for the special scheme of payment through PDC payment.

Am I eligible to apply if my salary is assigned to Emirates Islamic?

You are eligible to apply if you can bring the Salary and End of Service Benefits assignment to Emirates Islamic.

Is there any processing fee for applying Goods Murabaha?

Currently there are no processing charges for Murabaha finance.

Are the Goods purchased by me insured by the bank?

No the goods are not insured by the bank but the financed amount is insured by Amaan Insurance company. The original warranty or guarantee provided by the Supplier remains.

Do I have to pay any thing extra for this insurance?

No the bank do not charge anything to u for this insurance

What is the minimum amount of invoice acceptable?

An invoice should not be less than AED 2,000/- however one invoice can cover more than one items.

Can we bring invoices from more than one supplier?

Yes, you can bring invoices from more than one supplier, however the total amount of all the invoices together should be more than AED 10,000/-

Can we buy goods internationally through LC?

No, Goods Murabaha is only for purchasing goods or commodities locally.

Can we buy a Car with Goods Murabaha?

We have a specially designed product 'Vehicle Murabaha' for purchase of cars hence we do not cover the same in this finance .

Can I buy any goods /commodity through Goods Murabaha?

Yes, you can buy any lawful tangible goods. Unlawful goods or restricted category of goods includes the following:

  • Alcoholic Beverages
  • Pork Products
  • Tobacco Products
  • Drugs
  • Media containing indecencies
  • Consumables containing harmful material (preservatives, pesticides, carcinogens)
  • Generally anything that causes definite and known harm

Auto Finance

What is Murabaha?

Murabaha is the sale of goods ordered by the buyer/ customer with a price consisting of cost plus promised profit margin paid on deferred installment payment.

How can I apply for Vehicle Murabaha?

You can apply for Emirates Islamic Murabaha products through any of the Emirates Islamic branches.

Do I need to have an account with Emirates Islamic to apply for a Vehicle Murabaha?

No, you can apply for a Vehicle Murabaha even if you do not have an account with Emirates Islamic.

Do I have to transfer my salary to get Vehicle Murabaha?

No, you do not have to transfer your salary to Emirates Islamic to get Vehicle Murabaha.

Can I view my Murabaha Account Statements?

Yes, you can view your Murabaha account statements online. Click on Accounts "Account Statements" select the Murabaha account number from the drop down list. Click OK.

Rent Finance

Is Rent Finance presently open for salaried applicant only?

Rent Finance is available for both salaried and self-employed applicants.

What is the maximum tenor allowed?

Maximum tenor allowed is three years only for cases where a three-year tenancy contract is signed.

Are there any processing charges?

Bank charges 1% of the rent amount as the processing fee.

Can I apply online?

No, currently you can apply by calling our call centre number (600 599995) or visiting the sales office.

What are the eligibility criteria?

You should be a resident of UAE with a minimum salary of AED 4000.

Can I take the finance for renting an apartment anywhere in U.A.E.?

Currently this product is available for renting the properties in Dubai area only.

Will you finance the deposit amount also?

Bank will not finance the security deposit amount.

Who will be responsible for the maintenance of the apartment?

The landlord/owner will be responsible for all maintenance and repair work on the property.

How shall I pay the deposit amount?

The Rent Finance Representative will assist you in making the deposit amount with the Bank.

Do you offer rental payment holidays?

No, this finance option does not allow any rental payment holidays.

Can I rent a property owned by Emirates Islamic through this finance option?

Yes, you may rent a property owned by Emirates Islamic through this option. Please contact our Real Estate office for the same.

Do I need to have an account with Emirates Islamic to apply for this finance?

No, you are not required to have an account with Emirates Islamic.

How does the rent Finance scheme work?

In accordance with Shari'a principles, Emirate Islamic Bank rents a property from the landlord identified by our customer. Emirates Islamic will then sub-leases the property to you under an Isaiah contract. You will pay the Bank a fixed rental amount on a monthly basis instead of the huge yearly payment.

Manzili Home Finance

What's the difference between a conventional mortgage and an Islamic home-buying (Murabaha) facility?

There are several key differences. With a conventional mortgage, you borrow money to buy a house and then pay the money back over a number of years. You are charged interest on the money you borrow, which is in contravention of Shari'a principles.

In Islamic Home Financing, you will identify the property that you wish to buy and the bank will purchase it on your behalf from the seller. The bank will then resell the same property back to you (inclusive of bank's profit margin) with a deferred payment plan i.e. you pay the bank in equal monthly installments over the agreed tenure.

What is Isaiah Financing? How is it different from Conventional lending?

The same as the question above, the Bank will purchase the property from the seller. Instead of selling the property to you, the Bank will lease it to you for an agreed period. At the same time, the Bank undertakes to provide the property as a gift to you as long you fulfill all the terms and conditions spelt out in the lease agreement.

The distinguishing feature of this mode is that the assets remain the property of the bank. Over the term of the finance, the bank becomes the landlord and you assume the role of a tenant. During this period you make monthly payments, which consist of a contribution towards the purchase price of the property (capital) and rental payments. When you have made enough 'capital' contributions to match the original purchase price, we transfer the property to you.

What are the different types of Home Finance products available?

You can choose from the following:

  • SmartHome - Based on Murabaha
  • HomeLease - Based on Isaiah
  • Home Invest - Based on Musharaka Isaiah

How do I decide on the product best suitable for me?

Each customer has his/her own preference. Murabaha is best suited for a customer who wants to have a fixed cash outflow throughout the financing tenure. The monthly installment for Murabaha will be fixed up front and you will know the amount of your commitment from the very first day. In short you can budget your finances better, since you will know exactly how much you will have to pay each month.

As for Isaiah, the monthly payment i.e. rental may differ each month. The reason for this is that the monthly rental charges will be pegged against a moving EIBOR, which may change on a daily basis. Therefore, there might be fluctuations in a customer's financial planning.

Do I own the property during the finance period?

In Murabaha you own the property but it is mortgaged under the Bank's name till you finish paying the complete price of the house through installments.

What are the benefits of Islamic Home Finance for me?

All our products are Shari'a complaint and are free from "riba" and "gharar". The contracts prepared are all vetted by our Shari'a Board accordingly.

Can I refinance my existing Islamic Home finance facility of other Bank (if it is from another Bank)?

Yes, you can refinance the existing Islamic Home finance facility with other banks so long you meet our terms and conditions.

Can I refinance my existing Conventional Home loan?

Yes, you can refinance the existing Islamic Home finance facility with other banks.

Is the financing scheme open to non-Muslims?

All our Shari'a compliant products are open to anyone so long they meet and fulfill our eligibility requirements.

If I wish to early settle the facility, do I need to pay the outstanding selling price or any other amount?

If you settle the facility early, you will need to pay the outstanding selling price. There will be administrative charge applied as well.

Can I have a fixed installment scheme for the whole tenor?

Yes this facility is available under Murabaha financing.

What is the maximum tenor allowed?

For Murabaha the financing can be up to 10 years and for Isaiah up to 25 years.

What kind of Insurance is required?

Customer needs to take a Life insurance policy for the financed value and a property insurance to cover the property against fire and other perils.

Is it mandatory to take life insurance policy through Emirates Islamic?

If your existing life insurance policy is approved by the bank, you can assign the same to Emirates Islamic. Otherwise, Emirates Islamic will help arrange Life Takaful Amman Insurance.

Will the life Insurance policy from my home country be acceptable to the bank?

No, only the insurance companies in the approved list are accepted by the bank. No, only those policies that the bank evaluates and approves will be accepted by the bank.

What is Takaful?

Takaful is Islamic insurance, which works on the concept of donation. The policy owners mutually agree to help each other should anything untoward happen to any other policy owner. The major difference between Takaful and conventional insurance is that Takaful products have been certified as Shari'a compliant and they conform to the teachings of Islam.

Will I get to finance property anywhere in UAE?

Currently we will finance the properties only in Dubai & Sharjah.

What is the maximum and minimum financing allowed?

The minimum finance amount is AED 200,000 and the maximum finance amount is AED 5 million.

Is the land registered to my name or the bank's name?

The land will be registered under your name and will be mortgaged to the bank.

Do I have to do the registration myself?

Our Real Estate department will assist in the registration process.

Can I arrange the evaluation certificate myself?

To safeguard your interest, the evaluation will be carried out by our independent agent.

Can I get finance from the bank even if I have already paid down payment to the developer or owner?

Yes, you can still get the financing from the bank. All formalities will be handled by our expert mortgage advisors who will guide you throughout the home finance application process.

Can I arrange the property insurance from any Insurance firms?

The bank has made an arrangement to process the property insurance through Amaan Insurance

Once I have completed my application, how long will it take before I can move into the property?

Once the registration is complete, you can move into the property immediately.

Is the documentation/terms and condition for Islamic home finance different from the conventional loans?

Yes, the terms and conditions, and the documentation for Islamic finance differ from conventional loans. Our trained Home Finance Executive will be more than happy to assist you in detail.

What happens if I decide to change my house during the finance period?

You can either settle your existing finance facility by paying the outstanding finance amount or you may sell your house to a third party.

What is the eligible age group for Home Finance?

Minimum age required for finance is 21 yrs & maximum age on maturity can be up to 65 years.

How can I apply for Home Finance?

You may go to our Home Finance Centre which is located in the Sunshine Building (behind Al Tayer Showroom) in Al-Garhoud or walk into any of our conveniently located branches.

Alternatively, you can call our 24 hour information center on 600 599995 for further information.

How much time will it take for my Finance to be approved?

You will know the result of your Home Finance application within 48 hours after we have received all the required documentation.

Is it possible to have a pre-assessment done for the eligibility before providing the documents for processing the finance?

Yes, you can meet our branch representatives or the Home Finance Executive to check on your eligibility.

What is the Profit rate?

For Murabaha, the profit rates are as follows:

Reducing Flat
5 years 9.00% 4.48%
10 years 10.00% 5.20%
15 years 10.25% 6.19%

For Isaiah, the rental rate is: 3 month EIBOR + 2.50%

Note: These rates are subject to change, please check with our representatives for the current rates.

Is it mandatory to take property insurance?

Yes it is compulsory. The insurance premium is calculated based on the cost of the property. A premium amount will be debited every year from your account & the policy shall be assigned to the bank.

Do you finance property under construction?

At the moment, we do not have a specific product for financing property under construction. We will let you know once we are ready to offer such financing.

If so, when do I have to start paying you the installments?

You will be required to start paying your installment 30 days after payment to the seller has been done.

What kind of security is required by the bank for the finance?

One undated cheque covering the entire finance amount and three undated cheques for the installment payments.

Is salary transfer and assignment mandatory?

No. Salary transfer and assignment are not mandatory.

Do you finance commercial properties also?

Our Real Estate department offers financing for commercial properties. You may contact them at 600 599995.

Do all owners of property have to be co-borrowers to the financing?

Yes, it is important for all co-owners of the property to be co-applicants.

Can the income of more than one person be considered for eligibility calculations?

Yes, the bank can consider this. However, all the individuals whose income will be considered will have to be co-applicants to the finance.

What are the documents needed for a Home Finance?

The following are required for the Bank to start processing your application:

  • Latest Salary Certificate
  • 6 months latest bank statements
  • Valid passport with a legitimate UAE Residence Visa for expatriates/Copy of National ID Card for UAE Nationals
  • Copy of property Title Deed and Site Plan
  • Quotation from Seller

Online Banking

What are the services I can request through Emirates Islamic online?

You can make requests for a series of services under "Services" Tab, where we have included standard requests like subscribing to SMS Banking, ordering of Cheque books, Demand Draft, Managers Cheque and setting of standing orders.

How can I authorize someone else to operate my account?

You can nominate a sub-user to operate your account. To do this you may go to "Profile Information" and then select "Sub-user". However, if you have a joint, minor or non-resident Emirates Islamic account, you cannot appoint a "sub-user". In addition, if you have a joint, minor or non-resident Emirates Islamic account, you will not be able to link account.

Which browser can I use to successfully access Emirates Islamic online?

Please use the latest version of Internet Explorer (7.0 and higher).

Whom should I contact if I have a problem in accessing Emirates Islamic online?

You can call our Phone Banking on 600 599995 (within United Arab Emirates). Alternatively, you can contact us by clicking here

What has to be done when I get the message 'ID blocked' when I am trying to log-in?

You will have to follow the following steps:

  • Ensure that you are inputting the correct USER ID. If not, try to login again with your correct user ID.
  • If the user ID is correct, and you have forgotten your password, go to 'Forgot Password' function and change your password.

What should I do, when I get the message 'This service is not available...'?

There are two reasons for which you might get this message:

  • Either, you might not be eligible for that particular function as your Emirates Islamic account is joint, minor, and non-resident or you are a sub-user.
  • Or you might have not activated the particular function, which you can do by clicking on "Services" under the "Access Management" Tab.

Can I take a printout of my account balance/ statement?

Yes. You can take printouts of your account balance or statements provided a printer is attached to your PC.

What can I do if I forgot my User ID and/or Password?

You can visit our login page (https://login.banknetpower.net/islamicbank/login.jsp) and choose the "Forgot User ID" or "Forgot Password" options and follow the easy steps.

How do I change my password within Emirates Islamic?

To change your password online, simply follow the steps below:

  1. Log in to Emirates Islamic
  2. Choose "Profile Information" from the left menu
  3. Choose "Change Password" option
  4. Type the old password
  5. Type the new password
  6. To confirm, re-enter the new password
  7. Press on the "Confirm"
  8. A confirmation message will displayed indicating that your password has been changed
  9. The new password cannot be the same as the old password. The password should be alphanumeric with 8 to 14 characters. Spaces and special characters are not allowed.

Please Note: Always try and use an Alphanumeric password, which is easy for you to remember and hard for others to guess.

What are the secret questions?

There is a list of secret questions provided in a drop down box. You can choose any three secret questions from the list. These questions are an additional security layer that we have added in Emirates Islamic. You will need the answers to these questions later on within Emirates Islamic to access the functions within your "Profile Information". Therefore, you must remember the answers correctly. The secret questions are used as an extra security feature that backs up the password.

What should I do if I have forgotten my secret questions?

You can visit our login page (https://login.banknetpower.net/islamicbank/login.jsp) and choose the "Forgot Password" option, with-in this option you can choose your secret questions again.

How should I set my password?

The password lets you access your Internet Banking service. It is always important to remember the password. Things to remember about your password:

  • The password is case sensitive
  • The password cannot be less than 8 and more than 14 characters
  • The password cannot be same as the user ID
  • It is always preferable to use an alphanumeric password
  • Do not share your password with anyone
  • Choose a password that you can only know and no one can guess

Please note: If you have forgotten the password, the Bank will not be able to give you the same password. The bank keeps no record of customer passwords.

What should I do if my Emirates Islamic access is blocked?

You can call our Phone Banking on 600 599995 or you can visit your nearest branch and the customer service officers will assist you.

What should I do if I cannot solve my sign in issues?

If you are facing problems logging in and cannot solve them yourself. Please call our Phone Banking on 600 599995.

Security

What encryption does Emirates Islamic use?

Emirates Islamic uses a 128-bit encryption level.

How do I know my session is secured?

Every time you access Emirates Islamic. Look for a lock at the bottom right side of the screen. The lock will only be there when you are on a secure site.

Should I change the password frequently?

All customers are requested to change the password as frequently as possible. The Change Password function is a free service and there is not limit on the number of times you can use the function.

How can I set my password, after my Emirates Islamic account is opened?

Upon approval of your Emirates Islamic application, you will receive an e-mail from the bank with a link. You click on this link, enter your user ID, answer your secret questions (which you have specified in your Emirates Islamic account application) and then set a password. After setting the password, you will be able to log into Emirates Islamic.

Can I get access to Emirates Islamic immediately on receipt of password?

Yes. Just go to www.emiratesislamicbank.ae and you can login to the Internet Banking.

If I forget my password what should I do?

Use the "Forgot Password" function on the Login page to reset your password.

If I suspect somebody knows my password, what course of action must I take?

You must immediately change your password. Please remember that when you change your password, avoid using any recently used passwords.

Will anybody in the bank know my password?

Both password and secret questions are encrypted. Therefore nobody can know your password.

UAEFTS

What is UAEFTS?

UAEFTS stands for UAE Funds Transfer System. It is the new UAE Central Bank portal to be used for execution of all Inward and Outward AED payments within UAE.

What is the benefit of UAEFTS?

The system functions as Real Time Gross Settlement System which enables execution of transactions much faster as compared to the current system.

Is there any change in the TT application form?

A new TT application form has been introduced to include all the requirements as mandated by UAE Central Bank.

Can the existing TT application form be used for AED payments?

A new TT application form is designed for AED payments within UAE. However, for non-AED payments existing form can be used.

Will the transfer be affected if the beneficiary name and IBAN does not match as per beneficiary Bank's records?

As mandated by UAE Central Bank all local AED transfers will be credited to beneficiary solely on the basis of IBAN. Beneficiary name / other details will not be validated. You are requested to provide correct IBAN of the beneficiary on the application.

Is IBAN mandatory post 14th April 2012?

Yes, IBAN is mandatory for all Inward and Outward AED payments within UAE from 14th April 2012, including late submissions done on 12th April 2012, except for credit card payments. You are requested to ensure that a 23 digit beneficiary's IBAN starting with "AE" is mandatorily mentioned in the application.

Will the above be also applicable for Standing Instructions effecting local AED payments within UAE?

If you have standing order for effecting payments from your account to beneficiary accounts held in banks within UAE, then you need to advise the bank of the correct equivalent IBAN for the beneficiary account, in absence of which the standing orders will fail to get executed. Similarly, if you are receiving funds through Standing Instructions from any of the banks in UAE, please advise your IBAN to the remitter.

What additional information is required from the customer?

As mandated by UAE CENTRAL BANK, remitter should provide the "TRANSACTION TYPE" along with the "REF" of remittance (Details/Purpose of remittance such as Payment against Invoice No, Salary for the month, etc.) as additional details. In the absence of these details CENTRAL BANK will not accept transfer instructions.

What are the various "TRANSACTION TYPE" mandated by UAE Central Bank to be used for remittance originating from Individual accounts?

UAE Central Bank has mandated usage of following set of "TRANSACTION TYPE", one of which needs to be selected along with the related "REF" depending on the nature of your transfer if the remittance is originating from Individual accounts:

Code Description REF required
MIS Miscellaneous /Invoice No (INV) or REF of Ordering Customer (ROC) or REF of Beneficiary (ROB)/
CRP Credit Card Payment /Any REF related to the transfer/
REM Remittance /Any REF related to the transfer/
CHC Charitable Contributions /Any REF related to the transfer/

What are the various "TRANSACTION TYPE" mandated by UAE Central Bank to be used for remittance originating from Business accounts?

UAE Central Bank has mandated usage of following set of "TRANSACTION TYPE", one of which needs to be selected along with the related "REF" depending on the nature of your transfer if the remittance is originating from Business accounts:

Code Description REF required
MIS Miscellaneous /Invoice No (INV) or REF of Ordering Customer (ROC) or REF of Beneficiary (ROB)/
SAL Salary /Any REF related to the transfer/
ALW Allowance /Any REF related to the transfer/
BON Bonus /Any REF related to the transfer/
COM Commission /Any REF related to the transfer/
COP Compensation /Any REF related to the transfer/
COM Commission /Any REF related to the transfer/
COP Compensation /Any REF related to the transfer/
OVT Overtime /Any REF related to the transfer/
TKT Tickets /Any REF related to the transfer/
CRP Credit Card Payment /Any REF related to the transfer/
EOS End Of Service / Final Settlement /Any REF related to the transfer/
REM Remittance /Any REF related to the transfer/
POS POS Merchant Settlement /Any REF related to the transfer/
REM Remittance /Any REF related to the transfer/
POS POS Merchant Settlement /Any REF related to the transfer/
CHC Charitable Contributions /Any REF related to the transfer/
LAS Leave Salary /Any REF related to the transfer/
ACM Agency Commission /Any REF related to the transfer/
CCP Corporate Card Payment /Any REF related to the transfer/

What if the above details with respect to TRANSACTION TYPE are not provided by the customer?

Post 14th April 2012 (including late submissions of 12th April), omission of the details with respect to TRANSACTION TYPE will lead to rejection of messages by Central Bank.

Can TT requests be submitted over letter head of the company?

Yes, letter head of company can be used for execution of transfers; however you need to ensure to mention the TRANSACTIPN TYPE and REFERENCE NO for processing the request as these are mandatory fields. Applications without this information will not be processed and would be returned.

 

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