Personal Bank Loan of a Terminated Employee

ace_bohol
By ace_bohol

Hey guys! Can anybody tell me what will happen to the personal bank loan of a particular employee if his/her employment is terminated by his/her employer due to staff downsizing and is not given with a chance to find another job here in Qatar? Is he/she still obliged to settle the loan despite the fact that he/she is no longer capable of doing so? Thanks.

By MOBEL• 19 Nov 2008 09:00
MOBEL

In your case employer is responsible if they

have provided any guarantee or salary transfered

to bank, please refer to legal department in the

bank were yopu have taken loan....

By anonymous• 19 Nov 2008 00:20
Rating: 5/5
anonymous

I do not think terminated employee can able to pay off his/her bank loan. Also, the reason is quite obvious there. If he/she is given a chance to continue his/her employment by allowing sponsorship change, at least it can be taken care off, otherwise, it is impossible. As discussed in the forum, if some one is jailed or arrested in the Airport, can he/she able to repay or will bank get compensated.

To my knowledge and understanding, one needs to pay as long as he/she employed here without default on their part. Even I knew lots of employees who have availed personal loans left the country for good either in the pretext of emergency leave or during their annual vacation period opted out. So, as rightly pointed in this forum, most probably insurance will be convered in all the cases and bank will be compensated accordingly if loan evasions occur.

By chief tailor• 18 Nov 2008 23:54
chief tailor

.

By chief tailor• 18 Nov 2008 23:54
chief tailor

.

By chief tailor• 18 Nov 2008 23:53
chief tailor

..

By SAAN• 18 Nov 2008 22:49
SAAN

Hi,

Your loan / visa card is insured ? and you are paying

insurance charges every month with monthly installment? then no need to pay, Insurance company will pay, anyway, check your Bank policy & procedure...

Best of Luck

By anonymous• 18 Nov 2008 22:26
Rating: 2/5
anonymous

I'll advise you to contact Darude, he could give you some directions.

Honestly I wish you the best luck.

I would ask for a NOC and starting your search for a job. Don't default on the payments, speak to GM from the bank you acquire the loan. Let him know your intentions of continuing paying the loan.

I know is tough times, but there is and should be some partial sympathy.

Don't take advise from outside sources, every case is different.

By Nrcruz• 18 Nov 2008 22:03
Nrcruz

yes, you still need to pay for your loan. in fact, the letter you submitted to the bank when you applied for the loan contains something like: "in case of resignation/termination, the company shall inform the bank and deposit the end of service benefits to his account"

I don't mean to scare you but I know some people have been jailed for not being bale to pay for their loan. Also, according to grapevine some people with loan are sometimes held at the airport even if they intend to come back to Qatar. This is due to the fact that there were many cases of workers running away from their loans and credit cards. They take vacation and then they don't return to Qatar anymore.

Also in the news sometime ago - Dubai banks were running after borrowers in their home country...

By soundsgr8• 18 Nov 2008 21:30
Rating: 4/5
soundsgr8

Yes, the borrower should still settle the loan. It has insurance -yes, but it normally only covers death and not involuntary unemployment. Talk to your bank if they will honor guarantor(s) to help you pay your debt.

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