Credit cards are almost a necessity of late-stage capitalism. Whether you use them to buy airline tickets or pay for everyday purchases, credit cards in the UAE are convenient, easy to use, and often come with rewards such as cashback or air miles. However, these advantages come with a caution: failing to pay credit card bills on time can lead to unsustainable debt and negatively affect your credit score.
Thankfully, with the well-developed banking system in the UAE, it is easy to stay on top of your finances by making timely credit card payments.
Figuring out how to pay your credit card bill can sometimes feel confusing. Banks in the UAE have adopted the latest technologies, making it easier for residents to pay credit card bills on time. There is a solution for every need. You can choose to pay at a cash machine or handle your bill online, but the important thing is to avoid late fees by ensuring you pay as much as possible before the due date.
In the UAE, you can pay your credit card bill:
Paying your credit card bill is quick and easy if you have registered for online banking in the UAE. Once you log in, you will usually see an overview of all your accounts, allowing you to check how much you need to pay and whether you have enough money to cover the payment at a glance. From there, it’s a simple three-step process: choose the card you want to pay, select the account to transfer the money from, enter the amount, date, and purpose, and then confirm the transaction. Since the transfer happens instantly, paying online or through your bank app is one of the easiest ways to settle your bill. As a handy tip, set a reminder on your calendar to log onto online banking on the same day each month, preferably a few days before your bill is due.
Perhaps the easiest way to stay on top of your credit card bills is to set up a bank order so that the entire bill amount – or whatever percentage you choose – is automatically transferred to your credit card account each month. You should be able to do this when you apply for your credit card in the UAE, but if you haven’t, it’s easy enough to instruct your bank to transmit the amount each month. You may need to fill out a form and drop it off at a branch, but a direct debit ensures you avoid any hefty late fees or penalties. This works best when your credit card and salary account are with the same bank. Once you’ve set up the process, the transfer takes place instantly on the date in question, although the exact time of day may vary.
With money transfers such a big part of the expatriate life, most banks will allow you to pay credit card bills at certain exchange houses through the UAE Funds Transfer System (UAEFTS). The real-time gross settlement system facilitates the movement of funds between banks and other financial institutions in the UAE via their accounts at the UAE Central Bank. As always, however, there are pros and cons. The larger exchange houses have a counter in all the major malls, so you’ll find it convenient to pay credit card bills in this way. On the other hand, the exchange house may levy a transaction fee for accepting the payment, and the money may only be credited to your card the next day, so keep that timeframe in mind if you’re going down this route.
Credit cards can work to your advantage if you maintain a sense of financial discipline. Here are some handy tips for paying your credit card bill in the UAE:
Citibank offers a wide range of credit cards in the UAE for people at every stage of life. Citibank works with merchants in the UAE to provide cardholders with additional incentives, including airline miles and other travel rewards, dining discounts, offers on movie tickets, and much more.
Paying your credit card bills on time helps ensure responsible financial management. If you know someone who needs help managing their credit card finances in the UAE, why not share this article with them?
There are different loyalty cards available in the UAE, each with offerings such as travel miles, daily deals, cashback or points that can be used for store purchases and credit card payments.
Most credit cards come with some form of reward program, generally allowing you to accumulate points which can be redeemed on merchandise, gifts, travel miles, or cash back.
Most consumers have the notion that credit cards are for shopping with occasional rewards. The truth is most are not aware and miss out on benefits worth thousands of dirhams, perks and privileges each year they are entitled to.
This article is intended to provide general information about finance and investments and does not replace or should be taken as professional financial advice. The content reflects the view of the author of the article and does not necessarily reflect the views of Citi or its employees, and we do not guarantee the accuracy or completeness of the information presented in the article except information on Citibank N.A. – UAE products referenced herein.
