Official sources have warned citizens against dealing with offices and companies that engage in financing activities through social media, street and roadside advertisements, and ATMs, given that most of these institutions are unregulated, on the one hand, and out of concern that those who deal with them may be subject to manipulation of the terms of agreements and contracts, on the other.
The Saudi Arabian Monetary Authority (SAMA) has listed 26 licensed financing companies on its website for those wishing to engage in such commercial transactions; all consumers can view this list by visiting the Authority’s website, SAMA prohibits the conduct of any financing activities unless a license has been obtained in accordance with the provisions of this law or other applicable regulations, It also prohibits any unlicensed person from using, by any means, anything that indicates the practice of financing activities specified in the Financing Law or anything that implies such activities, or from using in their documents, papers, or advertisements any term or phrase that is synonymous with them.
In addition, the Saudi Arabian Monetary Authority "SAMA," the Ministry of Interior, and certain other relevant authorities have begun implementing special measures aimed at cracking down on non-compliant and unlicensed financing companies and offices that are widespread on social media platforms—particularly Twitter, which has seen significant activity by promoters of financing activities and installment payments— with the assistance of the relevant security agencies. Sources revealed that the SIM card data recently activated by telecommunications companies will play a major role in cracking down on promoters via social media.
It is worth noting that SAMA imposes a fine not exceeding 250,000 riyals for any violation stipulated in the regulations concerning the practice of the profession by licensed companies, and if the violation continues, the Authority may impose a fine not exceeding 10,000 riyals for each day the violation continues.
