I’m American and employed by a free-zone company. I am leaving my company and my last day will be in a few days’ time. I have already received an end-of-service cheque (although the bank did not receive notice that my previous salary payment was my last). I intend to stay in the UAE but do not have full-time employment yet. I have no loans of any type, but I would like to keep my chequing account open and active. Is this possible if I do not have an active employment/residency? Do I need to close my bank account entirely? JF, Abu Dhabi
If the employer has failed to notify the bank that a salary payment is the last one due, the bank is unlikely to freeze the bank accounts. However, they may still do so if they find out. As there are no loans, there is no reason for an account to be frozen, although any linked credit cards may be. This is to prevent any debts being run up. It is not necessary to have full-time employment to run a current account, so there is no need to close the account.
Keren Bobker is an independent financial adviser with Holborn Assets in Dubai, with over 20 years of experience. Contact her at keren@holbornassets.com. Follow her on Twitter at @FinancialUAE
The advice provided in our columns does not constitute legal advice and is provided for information only. Readers are encouraged to seek appropriate independent legal advice