SAMA places significant importance on enhancing the protection of the rights of beneficiaries of financing products and promoting transparency and disclosure principles through the application of technical standards and international best practices aimed at improving transparency, disclosure, and fairness in transactions within the sector. Early repayment is considered a right for beneficiaries of various financing products. Therefore, SAMA has mandated financing providers (banks/financing companies) to use a unified method for calculating the early repayment amount for financing contracts with monthly payments, such as personal financing, vehicle financing through leasing or other means, and real estate financing, to enable beneficiaries to understand their rights.

This guide has been prepared to provide a simplified explanation of the early repayment amount and the method for calculating it, based on the provisions of Article (82) and (84) of the Implementing Regulation of the Finance Companies Control Law issued in the month of Rabi' al-Thani 1434H corresponding to February 2013 G , Article (9) and (11) of the Implementing Regulation of the Finance Lease Law issued in the month of Rabi' al-Thani 1434H corresponding to February 2013G, and Article (11) of the first update to the Regulations for Consumer Financing  issued in the month of Ramadan 1431H corresponding to July 2014G.