In reference to SAMA receiving complaints from bank customers regarding the numerous phone calls they and their family members, relatives, or friends receive at various and inconvenient times from collection employees working for the banks, aiming to pressure them to pay their outstanding debts to these banks.

In the interest of SAMA in organizing the process of debit collection bank customers and the communications related to this, as well as protecting customer privacy, the bank must establish an appropriate mechanism to limit these communications to the debtors or their guarantors whose names and signatures appear on the banking documents of guarantee and not to other family members, relatives, or friends. Furthermore, these communications should be confined and specified within the official working hours of the banks. In case customers do not respond regarding the bank’s indebtedness, they should be followed up through the specialized authorities. We hope to be informed of the measures taken in this regard within a month from its date.

according to Circular No. (5497/MAT/2346) dated 28/01/1432H. In view of SAMA receiving complaints from bank customers that include threats from collection employees working for or contracted by the banks to record remarks on their credit records with the credit information company "SIMAH" to pressure them to settle their outstanding debts, SAMA wishes to remind banks not to involve the name of SAMA, credit information companies, or other supervisory entities in the communications of debt collectors with customers.

According to SAMA Circular No. (341000059261) dated 11/05/1434H. SAMA has observed that some banks are using unprofessional methods to collect distressed debts and are misleading distressed customers by claiming that their names will be removed from "SIMAH's list" upon settling their debts.

Whereas following such methods with distressed bank customers reinforces a false understanding of the role of credit information companies and negatively impacts the efforts made to educate beneficiaries about the reality of credit reports and their contents. Therefore, SAMA emphasizes the necessity for all banks operating in the Kingdom, particularly the employees of the collection department and contracted collection companies, as well as other relevant departments, to refrain from using unprofessional methods to collect distressed debts. This includes misleading distressed customers into believing that their names will be removed from "SIMAH's list" upon debt settlement, which contradicts the actual mechanisms of the credit reporting system in place.