Abu Dhabi Commercial Court Orders Bank to Refund Customer Dh189,873 for Unjust Credit Card Charges

The Abu Dhabi Commercial Court (First Instance) has ordered a local bank to refund Dh189,873 to a customer after finding that the amount was unjustly charged as interest on a credit card over ten years, despite the absence of any agreement between the parties on an applicable interest rate.

The court further directed the bank to pay the customer Dh25,000 in compensation for financial and moral damages and to permanently close the disputed credit card account.

According to court documents, the plaintiff filed a lawsuit demanding repayment of Dh189,873, which he claimed the bank had wrongfully collected, in addition to Dh100,000 in damages. He also sought to have his credit information corrected by removing a “weak” credit rating and requested that the bank bear all legal and attorney’s fees.

The plaintiff stated that he had been using a credit card issued by the bank since 2015 and had made regular payments. However, he was later surprised to discover that the bank continued to demand payments exceeding the card’s limit and had imposed excessive interest charges.

Despite paying substantial amounts over the years, the bank still claimed he owed Dh115,185 — a figure the plaintiff described as baseless.

 

In its defence, the bank’s legal representative sought the dismissal of the case, arguing procedural defects and lack of standing, and requested that the plaintiff be ordered to cover legal expenses.

 

The Abu Dhabi Commercial Court (First Instance) has ordered a local bank to refund Dh189,873 to a customer after finding that the amount was unjustly charged as interest on a credit card over ten years, despite the absence of any agreement between the parties on an applicable interest rate.

 

The court further directed the bank to pay the customer Dh25,000 in compensation for financial and moral damages and to permanently close the disputed credit card account.

 

According to court documents, the plaintiff filed a lawsuit demanding repayment of Dh189,873, which he claimed the bank had wrongfully collected, in addition to Dh100,000 in damages. He also sought to have his credit information corrected by removing a “weak” credit rating and requested that the bank bear all legal and attorney’s fees.

 

The plaintiff stated that he had been using a credit card issued by the bank since 2015 and had made regular payments. However, he was later surprised to discover that the bank continued to demand payments exceeding the card’s limit and had imposed excessive interest charges.

 

Despite paying substantial amounts over the years, the bank still claimed he owed Dh115,185 — a figure the plaintiff described as baseless.

 

In its defence, the bank’s legal representative sought the dismissal of the case, arguing procedural defects and lack of standing, and requested that the plaintiff be ordered to cover legal expenses.

 

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