Credit Card Promissory Note Template for the United Arab Emirates

A Credit Card Promissory Note is a specialized financial instrument under UAE law that creates a formal, unconditional promise to repay credit card debts. This document combines the legal strength of promissory notes under UAE Commercial Transactions Law with specific requirements for credit card facilities, giving banks powerful enforcement tools while protecting your rights as a consumer.

When do you need this document?

You'll typically encounter this document when applying for premium credit cards, requesting credit limit increases, or when banks require additional security for existing facilities. UAE banks commonly use these notes for corporate credit cards, high-limit personal cards, or when extending credit to expatriate customers. If you're a business owner applying for company credit cards or an individual seeking substantial credit limits, banks may require this promissory note as part of their risk management procedures. The document becomes particularly important if you have multiple supplementary cardholders or when banks need stronger legal recourse for debt recovery.

Key legal considerations

Under UAE law, your promissory note must contain specific mandatory elements including the unconditional promise to pay, exact payment amount in numbers and words, and proper identification of all parties. The document creates a direct legal obligation that can be enforced through UAE courts without requiring lengthy litigation procedures. You should carefully review payment terms, interest calculations, and any guarantor requirements before signing. The note may include provisions for immediate acceleration of the entire debt upon default, and you'll be liable for legal costs and collection fees. If guarantors are involved, they become jointly liable for the entire debt amount, and their liability extends beyond just the primary cardholder's obligations.

Legal requirements in United Arab Emirates

UAE Federal Law No. 18 of 1993 governs promissory notes and requires specific formalities including proper dating, clear payment terms, and authorized signatures from all parties. The document must comply with UAE Central Bank regulations under Federal Decree Law No. 14 of 2018, particularly regarding credit facility documentation and consumer disclosure requirements. If electronic signatures are used, the note must satisfy UAE Electronic Commerce Law requirements for digital authentication. Consumer protection provisions under UAE Federal Law No. 24 of 2006 mandate clear disclosure of terms, fees, and consequences of default. The note must be executed in the UAE or include proper attestation if signed abroad, and all parties must have legal capacity under UAE Civil Code provisions.