Residents of multiple communities in Dubai have been paying rent cheque-free since 2019. A top official from Dubai Holding Asset Management, which manages 15 communities, said the company rolled out the payment option when it launched the ‘DubaiAM Life app.
Communities covered under the scheme include Remraam, Layan, Ghoroob, Ghoroob Square, Shorooq, Dubai Wharf, Manazel Al Khor, and Al Khail Gate.
Ahmed Al Suwaidi, managing director of Residential Communities, Dubai Holding Asset Management, was talking to Khaleej Times after authorities in Dubai recently announced a system where rental cheque payments are automated and digitised using the UAE Central Bank’s Direct Debit System (UAEDDS).
Tenants can opt for the scheme, eliminating the need to submit post-dated rental cheques, as per the agreement signed between Dubai Land Department (DLD) and Emirates NBD bank.
“More than 21 per cent of our residents pay (rents) completely cheque-free. Overall, payments via the app have increased significantly this year as people realise the benefits and convenience that comes with this digital option. In H1 2022, app-based transactions made up nearly 87 per cent of the FY 2021 payments,” said Al Suwaidi.
The real estate asset management company has eliminated over 10,000 cheques since the scheme was rolled out.
The official said residents have three payment options via the app: Post-dated cheques, credit or debit card or pay their first instalment by card and the rest using post-dated cheques. “Direct debit with multiple payments terms is replacing the traditional cheque model and this transition is embedded in the app, where residents can even sign their contracts and related documents using UAE Pass,” he explained.