Dubai Islamic Bank, the UAE’s largest Shariah-compliant lender, has discontinued its popular ‘salary in advance’ facility for customers.
The bank said in a statement to Khaleej Times that the decision has been taken after a “thorough evaluation” of its financial products and it’s “actively exploring alternative solutions.”
“This decision to discontinue our Salary in Advance facility was made after careful consideration and thorough evaluation of our financial products portfolio,” the Dubai-based bank said in the statement. We understand the importance of this service to some of our customers and are actively exploring alternative solutions that will continue to support their financial well-being,” the statement said.
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Many other local banks are also offering this facility to their customers. DIB’s ‘Salary in Advance’ facility was also a popular product with residents who were looking to ease their financial burden.
Many UAE residents opt for this facility in times of financial crunch and other urgent personal needs. Customers had the option to apply for advance salary either through online banking or ATMs by paying a couple of hundred dirhams as the fee for the facility.
“We are committed to providing our customers with innovative financial solutions designed to meet their evolving needs. As part of our ongoing efforts to enhance our service offerings, we regularly assess our products and services to ensure they align with our strategic objectives and regulatory requirements,” it said.
“We appreciate the understanding of our customers during this transition and will keep them informed of any new developments,” the lender said.
Last year was an exceptional year for the bank as it delivered its highest profitability in history. Dubai Islamic Bank Group last month announced Dh7 billion net profit for 2023, up 26 per cent year from the previous year, driven by rising non-funded income and lower impairment charges.