SAMA seeks public input on draft standard retail consumer finance contract

Saudi Central Bank (SAMA) opened public consultation on the “Draft Standard Retail Consumer Finance Contract”.

Participants are expected to provide feedback until Nov. 13 through the Public Consultation Platform “istitlaa”, which is affiliated to the National Competitiveness Center (NCC).

Participants are expected to provide feedback until Nov. 13 through the public consultation platform, “istitlaa”, which is affiliated to the National Competitiveness Center. 

The move comes as part of SAMA's ongoing efforts to develop the finance sector, ensure its transactions’ fairness and protect financial institutions' customers. 

SAMA indicated that this standard contract includes consumer finance products, which aims to reduce the differences and disparities in consumer finance contracts among financiers that engage in consumer finance activity by stating all rights and obligations arising from these contracts to prevent potential disputes. 

In addition, it targets to enhance the protection of financial institutions' customers.

SAMA indicated that this standard contract includes consumer finance products, which aims to reduce the gaps and disparities in consumer finance contracts among financiers that engage in consumer finance activity.

This will happen through stating all rights and obligations arising from these contracts as well as limiting disputes that arise.