The Saudi Central Bank (SAMA) has issued a circular requiring all financial institutions under its supervision to provide 25 core banking services free of charge, with the aim to boost customer protection and ensure fair banking practices.
According to the directive, banks and electronic money institutions must offer free services including the opening of current accounts and e-wallets, cash withdrawals and deposits, and cheque deposits. Additionally, the measure covers the issuance, renewal, and replacement of Mada debit cards, including cases where ATMs retain cards.
The circular also mandates free use of Mada cards for domestic point-of-sale transactions and online purchases, as well as usage within the Gulf network. Customers are also entitled to free balance inquiries, mini statements via ATMs, bill payments and refunds, and the issuance of a cheque book containing 25 cheques.
Additional Benefits
SAMA has confirmed that banks must release property mortgages at no cost once customers have fully settled their financing obligations. On documentation, SAMA said banks must provide free issuance of customer identification certificates, periodic account statements, statements covering less than one year upon request, and statements for periods exceeding one year when issued through electronic channels.
Other services that must be provided without charge include certificates of indebtedness, debt transfer documents, clearance and discharge certificates, and the issuance of International Bank Account Number (IBAN) certificates.
This move by SAMA is part of a broader effort to enhance customer protection and ensure transparency in the banking sector. By mandating these free services, the central bank aims to reduce the financial burden on customers and promote fair banking practices.
