Over the last couple of years, there has been a shake-up of the country's banking sector, reflecting trends in the global marketplace. Chilly winds from overseas have had an effect on local performance, with a direct impact on our local banks and UAE branches of foreign institutions. Some foreign banks have also suffered setbacks elsewhere that have necessitated cutbacks here.
There are now encouraging signs of new green shoots in the economy but we are not yet entering a new period of rapid growth. At such a time, one would have thought that UAE banks would be wary of engaging, once again, in the hard selling of credit cards, together with their associated debt.
I was, therefore, surprised recently to receive an unsolicited call from my own bank to try to persuade me to transfer a sum of money from a credit card I hold with them to my current account. This, I was told, was a particularly attractive offer as it came with a reduced monthly interest rate of 1.75 per cent, compared to a prevailing rate of about 3 per cent. I would then be able to use this money from my current account while paying back the sum transferred – Dh30,000 was suggested – over a fixed six-month period, together with the interest.
On the day in question, as I wasn’t particularly busy, I allowed the saleswoman on the phone to deliver her spiel so that I could ask a few questions.
Although she said I could transfer money from any credit card, she was mainly interested in the cards I held with that bank. She obviously had some access to my account data, since she knew how many cards I had and that I had a current account with the bank, although her level of access did not allow her to see my balance. Had she been able to see it, she might have realised that I was unlikely to agree to take on any unnecessary debt.
I thought it would be a good idea to check whether she was, in fact, calling from the bank she claimed to represent. I asked her to confirm where she worked and she arranged to send me a special number via a text message that promptly came through from a number the bank regularly uses to inform me of transactions on my account. So that checked out – it wasn't a telephone scam.
I decided at that point to end the call but first asked the caller to make a note of some points to be relayed to her supervisor.
Principally, I objected, as I told her, to receiving calls from my bank, inviting me to take on debt. I told her that I was well aware that some people receiving such calls might have an urgent need for more cash in their current account and might, therefore, be willing to accept this offer of access to instant cash in exchange for a significant credit card debt, albeit at a reduced interest rate. They might then find it difficult to repay within the fixed six-month period.
During our conversation, I told her I would be delighted to receive a call from the bank’s customer service department to discuss the issue before writing this very column. Ten days later, I am still waiting for that call.
I have been here long enough to remember the years when local banks would cold-call people to offer credit cards. I, like many others, know of individuals who took on more cards than they could afford, sinking gradually into an ever-deepening spiral of debt. The problems caused by this were, and still are, wide-ranging. Bankruptcies, people absconding from the country leaving unpaid credit card debts, stress, and worse – all these and much more are far from unusual.
For a while, the number of these calls seemed to subside, perhaps as banks found that they had to write off such debts as unrecoverable. I am disappointed to see that they are making a comeback.
Banks should be encouraged to act responsibly and shamed if they do not have their clients’ best interests at heart. Financial literacy is also an indispensable tool for people to make sound choices. Only then will these cold-calling tactics become a thing of the past.
Peter Hellyer is a consultant specialising in the UAE's history and culture
You can donate to several registered charities through a “donation catalogue”. The use of the donation is quite specific, such as buying a fan for a poor family in Niger for Dh130.
The site has an e-donation service accepting debit card, credit card or e-Dirham, an electronic payment tool developed by the Ministry of Finance and First Abu Dhabi Bank.
You can donate online or order Smiles n’ Stuff products handcrafted by Al Noor students. The centre publishes a wish list of extras needed, starting at Dh500.
Beit Al Khair Society has the motto “From – and to – the UAE,” with donations going towards the neediest in the country. Its website has a list of physical donation sites, but people can also contribute money by SMS, bank transfer and through the hotline 800-22554.
Dar Al Ber Society, which has charity projects in 39 countries, accept cash payments, money transfers or SMS donations. Its donation hotline is 800-79.
Dubai Cares provides several options for individuals and companies to donate, including online, through banks, at retail outlets, via phone and by purchasing Dubai Cares branded merchandise. It is currently running a campaign called Bookings 2030, which allows people to help change the future of six underprivileged children and young people.
Those who travel on Emirates have undoubtedly seen the little donation envelopes in the seat pockets. But the foundation also accepts donations online and in the form of Skywards Miles. Donated miles are used to sponsor travel for doctors, surgeons, engineers and other professionals volunteering on humanitarian missions around the world.
On the Emirates Red Crescent website you can choose between 35 different purposes for your donation, such as providing food for fasters, supporting debtors and contributing to a refugee women fund. It also has a list of bank accounts for each donation type.
Gulf for Good raises funds for partner charity projects through challenges, like climbing Kilimanjaro and cycling through Thailand. This year’s projects are in partnership with Street Child Nepal, Larchfield Kids, the Foundation for African Empowerment and SOS Children's Villages. Since 2001, the organisation has raised more than $3.5 million (Dh12.8m) in support of over 50 children’s charities.
Sheikh Mohammed bin Rashid Al Maktoum launched the Noor Dubai Foundation a decade ago with the aim of eliminating all forms of preventable blindness globally. You can donate Dh50 to support mobile eye camps by texting the word “Noor” to 4565 (Etisalat) or 4849 (du).
Pearls on a Branch: Oral Tales
Najlaa Khoury, Archipelago Books
8.15pm: UAE Oaks – Group 3 (TB) $125,000 (D) 1,900m
8.50pm: Zabeel Mile – Group 2 (TB) $163,000 (T) 1,600m
9.25pm: Balanchine – Group 2 (TB) $163,000 (T) 1,800m
10pm: Al Shindagha Sprint – Group 3 (TB) $130,000 (D) 1,200m
SERIE A FIXTURES
Saturday Spezia v Lazio (6pm), Juventus v Torino (9pm), Inter Milan v Bologna (7.45pm)
Sunday Verona v Cagliari (3.30pm), Parma v Benevento, AS Roma v Sassuolo, Udinese v Atalanta (all 6pm), Crotone v Napoli (9pm), Sampdoria v AC Milan (11.45pm)
Monday Fiorentina v Genoa (11.45pm)
RACE CARD
5pm: Sheikh Mansour bin Zayed Al Nahyan Racing Festival Purebred Arabian Cup Conditions (PA); Dh 200,000 (Turf) 1,600m 5.30pm: Sheikha Fatima bint Mubarak Cup Conditions (PA); Dh 200,000 (T) 1,600m 6pm: Sheikh Sultan bin Zayed Al Nahyan National Day Cup Listed (TB); Dh 380,000 (T) 1,600m 6.30pm: Sheikh Sultan bin Zayed Al Nahyan National Day Group 3 (PA); Dh 500,000 (T) 1,600m 7pm: Sheikh Sultan bin Zayed Al Nahyan National Day Jewel Crown Group 1 (PA); Dh 5,000,000 (T) 2,200m 7.30pm: Sheikh Mansour bin Zayed Al Nahyan Racing Festival Handicap (PA); Dh 150,000 (T) 1,400m 8pm: Wathba Stallions Cup Handicap (PA) Dh 100,000 (T); 1,400m
UAE Team Emirates
Valerio Conti (ITA)
Alessandro Covi (ITA)
Joe Dombrowski (USA)
Davide Formolo (ITA)
Fernando Gaviria (COL)
Sebastian Molano (COL)
Maximiliano Richeze (ARG)
Diego Ulissi (ITAS)
Tips for newlyweds to better manage finances
All couples are unique and have to create a financial blueprint that is most suitable for their relationship, says Vijay Valecha, chief investment officer at Century Financial. He offers his top five tips for couples to better manage their finances.
Discuss your assets and debts: When married, it’s important to understand each other’s personal financial situation. It’s necessary to know upfront what each party brings to the table, as debts and assets affect spending habits and joint loan qualifications. Discussing all aspects of their finances as a couple prevents anyone from being blindsided later.
Decide on the financial/saving goals: Spouses should independently list their top goals and share their lists with one another to shape a joint plan. Writing down clear goals will help them determine how much to save each month, how much to put aside for short-term goals, and how they will reach their long-term financial goals.
Set a budget: A budget can keep the couple be mindful of their income and expenses. With a monthly budget, couples will know exactly how much they can spend in a category each month, how much they have to work with and what spending areas need to be evaluated.
Decide who manages what: When it comes to handling finances, it’s a good idea to decide who manages what. For example, one person might take on the day-to-day bills, while the other tackles long-term investments and retirement plans.
Money date nights: Talking about money should be a healthy, ongoing conversation and couples should not wait for something to go wrong. They should set time aside every month to talk about future financial decisions and see the progress they’ve made together towards accomplishing their goals.
Top tips to avoid cyber fraud
Microsoft’s ‘hacker-in-chief’ David Weston, creator of the tech company’s Windows Red Team, advises simple steps to help people avoid falling victim to cyber fraud:
1. Always get the latest operating system on your smartphone or desktop, as it will have the latest innovations. An outdated OS can erode away all investments made in securing your device or system.
2. After installing the latest OS version, keep it patched; this means repairing system vulnerabilities which are discovered after the infrastructure components are released in the market. The vast majority of attacks are based on out of date components – there are missing patches.
3. Multi-factor authentication is required. Move away from passwords as fast as possible, particularly for anything financial. Cybercriminals are targeting money through compromising the users’ identity – his username and password. So, get on the next level of security using fingertips or facial recognition.
4. Move your personal as well as professional data to the cloud, which has advanced threat detection mechanisms and analytics to spot any attempt. Even if you are hit by some ransomware, the chances of restoring the stolen data are higher because everything is backed up.
5. Make the right hardware selection and always refresh it. We are in a time where a number of security improvement processes are reliant on new processors and chip sets that come with embedded security features. Buy a new personal computer with a trusted computing module that has fingerprint or biometric cameras as additional measures of protection.
Kanguva
Director: Siva
Stars: Suriya, Bobby Deol, Disha Patani, Yogi Babu, Redin Kingsley
