Write-Off of Loans

Effective from 2020-11-09 - Nov 08 2020
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49.	A DTFC shall write-off a loan or a portion of a loan from its balance sheet when-
	i.	the institution loses control of the contractual rights over the loan;
	ii.	all or part of a loan is deemed uncollectible or there is no realistic prospect of recovery;
	iii.	the borrower becomes bankrupt; or
	iv.	efforts to collect debt are abandoned for any other reason.
50.	Every DTFC shall, at least every year, review its assets and make necessary provisions as need arises, if an actual loss of an asset occurs or when the recoverable amount of the asset is less than it's carrying value.
51.	Every DTFC shall submit a copy of the review report to SAMA within fifteen business days from the date of review.