2.4.5 Rules for Opening Prepaid Electronic Records that Use a simpler form of KYC
No: BCT/15631
Date(g): 2/5/2012 | Date(h): 11/6/1433
Status: In-Force
For Prepaid Payment Electronic Records that uses a simpler form of KYC the following applies:
1-
A master account shall be opened under the name of the contracting entity.
2-
Electronic record or ‘sub-records’ (subaccounts of the master account) shall be opened for every card issued in the programme.
3-
Such card can be:
a)
used within a closed or restricted loop arrangement different from SPAN access points
b)
used at specified SPAN access points.
4-
Sub-records’ (the card accounts) shall not be allowed to accept cash deposits or any credit entries other than at the issuance of the card.
5-
No statements shall be required for issue. Instead, the cardholder can request a balance enquiry at participating merchant outlets.
6-
No signature specimens of the customers are required to be obtained.
7-
Transactions facilitated through such cards shall be limited to PoS purchase (excluding cash back option) up to the amount deposited in the card record at the time of activation of the card.
8-
A special design shall be adopted for the above-mentioned cards which is different from the design specification for SPAN Prepaid cards. The card will not carry the SPAN Logo
9-
Card expiry is to be within 2 years of issue.
10-
The above-mentioned service shall be rendered to eligible entities having a relationship with the issuer.
11-
Such accounts must be open under the approval of the compliance officer at the bank according to procedures set by the bank based on its customer categorization process.
12-
All programs must comply with the regulatory rules for prepaid payment services in the Kingdom of Saudi Arabia.
