Law: Law of Payments and Payment Services, promulgated by Royal Decree No. (M/26) dated 22/03/1443 H.
 

Implementing Regulation: The Implementing Regulation of the Law.
 

Governor: Governor of the Central Bank.
 

SAR: Saudi Arabian Riyal.
 

PFMI: The “Principles for financial market infrastructures” issued by CPMIIOSCO on April 2012 (and any publications or amendment thereof).
 

Controller: a Person who, either jointly or severally, can influence the actions or decisions of the Licensee or the holding company that owns the Licensee under any of the following cases:
 

Holding Company: Notwithstanding the relevant provision of the Companies Law, a joint-stock, a simplified joint-stock, or a limited liability company that controls another joint-stock, simplified joint-stock, or limited liability company (that is referred to as its subsidiary) by owning more than half of the capital of such companies or by controlling the formation of their boards of directors.
 

Complaint: Expression of consumer or client dissatisfaction or objections, submitted to a Licensee through the available channels.
 

License: The license that is given by SAMA to operate a Payment System or to provide Payment Services in accordance with the provisions of the Law and the Implementing Regulation, including activities that are specified in the License.
 

Applicant: A legal person -or who is acting on his behalf- that has applied for licensing.
 

Licensee: a Payment System Operator or Payment Service Provider licensed under the provision of the Law and the Implementing Regulation and the like.
 

Licensed Bank: A bank licensed to carry on banking business pursuant to the Banking Control Law, promulgated by Royal Decree No. (M/5) dated 22/02/1386 H.
 

Payment Service Provider: Any of the following entities:
 

Relevant Payment Services: Any Payment Services that are activities specified in Article 6 of the Implementing Regulation.
 

Agent: a Person that acts on behalf of a Payment Service Provider in the provision of Relevant Payment Services.
 

Payment service user: Any person who makes use of, or receives, one or more Relevant Payment Services in the capacity of Payer, Payee or both; or any Person who makes use of the Relevant Payment Services of a Payment Account Information Service Provider.
 

Payment System Operator: The legal person licensed as an operator of one or more Payment Systems by SAMA.
 

Non-Systemically Important Payment System: a Payment System not designated by SAMA as a Systemically Important Payment System.
 

National Payment system: a Payment System owned or operated by SAMA directly or indirectly.
 

Service Provider Related to Payment System: The service provider that forms part of the payments system operating arrangements.
 

Payer: a Person who holds a Payment Account and allows a Payment Services Order from that Payment Account, or where there is no Payment Account, a person who gives a Payment Services Order.
 

Payee: a Person who is the intended recipient of Funds which have been the subject of a Payment Transaction.
 

Payment Account: : An account held in the name of one or more Payment Service Users which is used for the execution of Payment Transactions.
 

Money Remittance: An operation where Funds are received from a Payer, without any Payment Accounts being created in the name of the Payer or the Payee, for the purpose of transferring a corresponding amount to a Payee or to a Payment Service Provider or a Person licensed under the Rules Regulating Money Changing Business acting on behalf of the Payee or to an entity with an equivalent license, or such Funds are received on behalf of and made available to the Payee.
 

Credit Transfer: An operation that results in crediting the Payment Account of a Payee with a Payment Transaction (or a series of Payment Transactions) which is carried out in accordance with the instruction given by the Payer through his Payment Account with the Payment Service Provider.
 

Direct Debit: An operation that results in debiting the Payer’s Payment Account following a Payment Transaction that is initiated by the Payee on the basis of the consent given by the Payer to the Payee’s Payment Service Provider or to the Payer’s own Payment Service Provider.
 

Payment Aggregation Service: Operations provided by a Payment Service Provider of facilitating payment on a pooled basis and do not require a relationship with a Payment Service Provider that provides the Payment Service of Payee Acquiring.
 

Payment Transaction: The depositing, transferring or withdrawing of Funds initiated by the Payer or on his behalf or by the Payee.
 

Payment Transaction Aquiring:  The Payment Service provided by a Payment Service Provider to a Payee to accept and process a Payment Transaction, which results in a credit transfer to the Payee.
 

Payment Account Information Service: A service to provide consolidated information about one or more Payment Accounts (in the original format or subject to processing), held by the Payment Service User with one or more Payment Account Service Providers, with enabling the Payment Service User to modify and present account information in alternative ways, which is shared through the electronic channels or otherwise with Payment Service User or any other Person’s instructions and Consent.
 

Payment Initiation Service: A service (as an on-line tool or otherwise) to initiate a Payment Services Order at the request of a Payment Service User in connection with his Payment Account with the Payment Account Service Provider on the basis of Consent provided by that Payment Service User.
 

Payments Account Service Provider: a Payment Account Service Provider, including the licensed bank, which provides and maintains a Payment Account for the Payment Service User.
 

Payments Instrument: Any tools or procedures provided by the Payment Service Provider to the Payment Service User, which is used to initiate Payment Services Orders through the online channels or otherwise.
 

Card-Based Payments: The Payment Instrument provided by the Payment Service Provider through a card used to initiate a Payment Transaction from a Payment Account held with another Payment Service Provider.
 

Closed Loop Account: The monetary value stored on a Payment Instrument and is issued by a one-off issuer, which cannot be redeemed in cash or to any other account, which can only be used to acquire goods or services within a limited network of service providers that have direct commercial agreements with the issuer and are in the same corporate group or are otherwise affiliated by the same commercial name or trademark.
 

Restricted Loop Account: The monetary value stored on a Payment Instrument, which cannot be redeemed in cash or transferred to any other account and can only be used to acquire goods or services within a clearly defined area, goods or services within a limited network of service providers which have direct commercial agreements with the issuer.
 

Limited Network Service: Payment Transactions made using a Closed Loop Account or a Restricted Loop Account.
 

Payment services Order: Any instructions by a Payment Service User acting as Payer or Payee to its Payment Service Provider, requesting the execution of a Payment Transaction.
 

One-off Payment Contract: A contract for a one-off Payment Transaction not made under a Framework Contract.
 

Framework Contract: A contract for Relevant Payment Services which is intended to govern the subsequent execution of individual and successive Payment Transactions.
 

Electronic Money: Electronically (including magnetically) stored monetary value as represented by a claim on the issuer, which is issued on receipt of Funds for the purpose of making Payment Transactions and accepted by a Person other than the issuer as means of payment (excluding virtual assets).
 

Electronic Money Institution or “EMI”: an entity that is licensed to issue Electronic Money.
 

Electronic Money Distributor: a Person that distributes or sells Electronic Money or redeems Electronic Money on behalf of an EMI but does not provide any Payment Service (including the issuance of Electronic Money) or act as an Agent of the EMI.
 

Safeguarded Funds: Means safeguarded funds according to the following cases:
 

Cash-Out Transaction: The redemption and withdrawal of Electronic Money at par value.
 

Total Average Outstanding Electronic Money: The arithmetic means of the total amount of financial liabilities related to Electronic Money issued by the EMI at the end of each calendar day over the last twelve calendar months.
 

Total Outstanding Electronic Money: The total value of Electronic Money issued by an EMI, calculated on the first day of each calendar month and applied for that calendar month.
 

Payment Institution or “PI”: a Payment Service Provider licensed to provide one or more Relevant Payment Services, except for the issuing of Electronic Money.
 

Accounting Records: Underlying documents and information (stored electronically or otherwise) used to prepare, verify and audit financial statements.
 

Average Monthly Payment Transaction Value: The rolling monthly average over any period of twelve calendar months preceding the date of calculation of the total amount of Payment Transactions executed by the Payment Service Provider, including Payment Transactions executed by its Agents, and does not include the issuance or redemption of Electronic Money.
 

Authentication: A procedure (that may be subject to further SAMA’s regulations, rules, circulars, controls or instructions, including those related to cyber security) which allows a Payment Service Provider to verify the identity of a Payment Service User or the validity of the use of a specific Payment Instrument, and “Authenticated” shall be interpreted accordingly.
 

Consent: The authorization by an Authenticated Payer of a Payment Transaction, recorded in accordance with Article 38 of the Implementing Regulation.
 

Personalized Security Credentials: Personalized features provided by a Payment Service Provider to a Payment Service User, which can be used for the purposes of Authentication.
 

Fit and Proper Requirements: The rules, instructions and requirements issued by SAMA and all amendments thereto which includes the standards of competence and propriety for Senior Positions of Payment System Operators and Payment Service Providers.
 

Senior Positions: The functions, roles and responsibilities entrusted to those positions who take strategic decisions or manage the Licensee’s business processes, including the board of directors and senior management, according to the positions specified in the Requirements for Appointments to Senior Positions.
 

Fit and Proper Form: The form issued by SAMA in accordance with the requirements for appointments to senior positions.
 

Operating Rules: The operating rules of a registered payment system.
 

Outsourcing Rules: The regulations, rules, circulars, principles and instructions related to third-party outsourcing, issued by SAMA, with the aim of regulating the provisions of assigning activity to a third party.
 

Unique Identifier Number: The account number of the Payment Service User.
 

Unauthorized Payment Transactions: The payment transactions that are initiated by a non-user of Payment Services without the authority to initiate them.