Deferment related Frequently Asked Questions (FAQ)

Published on: May 18, 2020

The COVID-19 pandemic and Global Economic situations has impacted our businesses and lives. During these difficult times, we at UFC, are committed to support and stand in solidarity with our customers to tide over the current crisis.

As part of our support and to be in line with CBO guidelines, we are offering affected customer the option to choose an EMI (Monthly Instalment) deferment option. Our efforts through these relief measures are in line with our customer focus initiative and we hope this will support our customers and help them stabilize their businesses and lives.

1. What is meant by Deferment?

The deferment is the postponement of EMI. Interest shall continue to accrue on the outstanding principal during the deferment period. It is not a waiver. It is not a waiver. In some cases, as per advice from regulatory authorities we may waive the interest for a short period of time.

2. Is Deferment compulsory or optional?

The deferment is optional and we sincerely advise our customers to choose this option, only if their Salaries or Payments/ Cashflows are affected, as deferment may result in an increase in the total interest paid during the tenure of the loan.

3. For what period, can the deferment be granted?

The deferment may be granted up to a period of 1-6 months. We request you to visit our website to understand the impact on you better, based on the examples listed in this context. www.ufcoman.com 

4. Will the interest accrue during the deferment period?

Yes, the interest will accrue during the deferment period. The interest accrued will be collected during the first or first & second EMI, depending on the deferment period. We request you to visit our website to understand based the examples listed in this context. In some cases as per advice from regulatory authorities we may waive the interest for a short period of time.

5. How can I opt for deferment?

You can opt for the deferment by clicking on the link shared with you by UFC through our SMS. You can also visit our website www.ufcoman.com. We have hosted the deferment letter for individuals and companies in both Arabic and English. Kindly download the letter and submit it to the nearest UFC branch or email to us at ufc@ufcoman.com.

6. What are the documents to be provided for Deferment request?

The first step is to visit our website www.ufcoman.com and download the deferment request letter format. It is available for individuals and companies in both Arabic and Englis. Once the deferment is considered UFC will send an SMS intimating the same and we request you to submit the deferment agreement and cheques etc., Customers are expected to complete the required documentation at the earliest (within 2 to 3 weeks from the date of receipt of SMS, acknowledging receipt of their request). If legal documents and new cheques are not received in time, the deferment request will stand canceled and all existing cheques will be sent for clearing to the bank.

7. Will there be late payment charges / Penal Interest / Additional interest for the deferred installments?

There will be No late payment charges or Penal Interest or Additional interest charged during the deferment period. The interest charged will be on the outstanding principal amount on simple interest basis and collected first as pert of EMI, when the EMI repayment commences post the deferment period.

8. Will the deferment have an impact on the BCSB status?

No, there will be no impact on your BCSB status. The BSCB status will remain at the same status as you were before deferment. (E.g 1: If your accounts are in regular status and your accounts will continue to be in regular status, E.g 2: If your accounts were in 31 days overdue and your accounts will continue to be in 31 days overdue status.) However, if you fail to honor the EMI payments post deferment period, your BCBS status will be impacted based on the overdue status.

9. What happens if one of my cheques has already bounced?

If you has given all the required documents and new cheques in time, we ill add this cheque to your outstanding principal. The new repayment schedule will reflect the same.

10. What happens, if I am an Omani Citizen and I have lost my Job?

You can request for a deferment of 12 months, and if your account conduct has been satisfactory, you will be given a 12-month deferment or till you find a new job, whichever is lesser. You may also request for a deferment without interest for 3 months. 

11. What if, I have more than 3 payments overdue and classified?

We are considering deferment only in exceptional cases for classified customers.

12. What if, my company is closed during lockdown and cannot issue me any letter or documents?

We will accept at an email from your Head of HR or GM, preferably from the company email address.

For Arabic notification, please click here.