Dubai rent payment through direct debit instead of cheques: Ejari now fully linked with system

Dubai rent payment through direct debit instead of cheques: Ejari now fully linked with system

UAE - Dubai’s real estate rental online registration system Ejari is now “fully integrated” with a direct debit system (DDS). As reported by Khaleej Times in July last year, the Dubai Land Department (DLD) had announced that the UAE Central Bank’s DDS eliminates the need for tenants to submit post-dated rental cheques.

Annual rents in Dubai are typically paid in two, four or six instalments via post-dated cheques.

The new system allows tenants and landlords to configure the rent payment schedule during the contract creation or renewal process. This will facilitate recurrent payments from the tenants’ bank accounts, according to a manual issued by the DLD earlier this week. This means instead of cheques, the landlord may collect signed direct debit mandates from tenants.

“The UAEDDS … provides the residents of UAE with an automated payment method that will facilitate recurrent payments from their bank accounts,” the DLD said in the manual that lists the steps needed to set up a DDS in Ejari and digital wallet noqodi.

The DDS allows tenants to sign an authorisation form for instalment payments. “It is mainly a product to replace cheques and automate the debit from bank account,” the DLD said in the manual.

The DDS benefits tenants,