The BNPL company shall:

1. Comply with the Responsible Lending Principles for Retail Consumers issued by SAMA.
2. Verify and document the credit record of the consumer, with their consent, to confirm their solvency, repayment capacity and credit conduct.
3. Register the consumer’s credit information, with their consent, at one or more
4. of the companies licensed to collect credit information according to the relevant laws, regulations and instructions. Such information must be updated throughout the period of dealing with the consumer.
5. Set appropriate approvals and acknowledgments and allow consumers to read and agree to them before dealing with them, provided that such approvals and acknowledgments are shown as a pop-up window.
6. Adopt a clear, transparent and documented scientific method, criteria and procedures to evaluate the creditworthiness of the consumer and their repayment capacity, in accordance with best practices in this field.
7. Identify the consumer, verify their identity through a reliable and independent source, and document this in accordance with the regulations and instructions issued by SAMA.
8. Obligate contracted stores not pass or charge any additional fees to the consumer. The company shall also monitor the compliance, and provide them periodically with the required guidelines.
9. Maintain provisions for potential losses, defaults and risks in line with the International Accounting Standards and relevant SAMA-issued guidelines.

The BNPL company shall not:

1. Charge fees on the consumer, including fees owed to the company, contracted stores, or a third party. This excludes any delay penalties or debt collection fees imposed in accordance with the Debt Collection Regulations and Procedures for Individual Customers.
2. Launch any new products without obtaining prior written non-objection from SAMA.
3. Transact with a consumer under the age of (18) Hijri years.
4. Transact with a foreign consumer who is not a resident of Saudi Arabia, except after obtaining a written non-objection from SAMA.
5. Purchase goods or services in a currency other than the Saudi riyal, except after obtaining a written non-objection from SAMA.

1. Without prejudice to the deductible ratios specified in the Responsible Lending Principles for Retail Consumers, the total outstanding financing for each consumer natural person must not exceed an amount of SAR 5,000 (five thousand Saudi riyals), subject to increase or decrease by SAMA as it deems appropriate.
2. The number of installments granted to the consumer must not exceed a maximum of 12 installments.
3. Collection methods must be applied through electronic channels. Cash request is prohibited.
4. The total outstanding finance made through the company must not exceed 20 times the capital and reserves, except after obtaining a non-objection letter from SAMA. Additionally, SAMA may raise or lower the maximum limit of the total financing to the extent it deems appropriate.
5. The company shall not obtain financial facilities from non-licensed financiers, except after obtaining a non-objection letter from SAMA.

The BNPL company shall develop an appropriate written organizational policy that addresses potential conflicts of interest. Such policy must include adequate measures put in place to avoid and address any conflict of interest, ensuring fair treatment of all consumers and stores.

The BNPL company, through the means by which it carries out its activities, shall ensure, as a minimum, to:

1. Clarify and disclose all terms and conditions, security instructions, payment methods, information confidentiality and any other statements that must be disclosed according to relevant laws and instructions.
2. License Disclosure Instructions issued by SAMA.

The BNPL company shall draw up a finance (terms and conditions) contract with the consumer before any dealings, provided that it is presented clearly, easy to understand, and not misleading. The contract shall also be consistent with the relevant regulatory requirements and contain, as a minimum:

1. The information of the company and consumer (parties).
2. Finance term.
3. Type of goods or services, including their specifications and requirements (if any).
4. Involved parties’ rights and obligations
5. The amount, number and term of installments payable by the consumer, and the company’s commitment to notify the consumer of the monthly installment due date in advance.
6. Consequences of a delayed payment of installments.
7. Purchase order cancellation method, and refund procedures, conditions and process time.
8. Procedures for early payment and for compensating the company (when necessary) and how to determine such compensation.
9. Procedures for dealing with defaulting consumers.
10. Consumer’s permission to enter their information in the credit record.
11. Dispute resolution mechanism.
12. Any other data or information required by SAMA.

A contract must be drawn up in paper or electronic form between the company and stores in accordance with the relevant legal requirements. Each party shall receive a copy of the contract that must clarify, at least, the following:

1. Contract parties and their information.
2. Contract term, provided that the contract term is consistent with the validity of relevant permits or licenses of both parties.
3. Contract parties’ rights and obligations.
4. Pricing structure.
5. Withdrawal procedures and conditions.
6. Information confidentiality, privacy and security.
7. Customer protection provisions.
8. Compliance of the parties with the provisions of relevant laws, regulations, rules, guidelines and instructions.
9. Provisions of contract renewal and renegotiation.
10. Contract termination and expiration.
11. Reporting and escalation procedures and dispute resolution mechanism.
12. Any other data or information required by SAMA.