Account Opening Rules

Updating Customer Information a. Banks may update the customer information in any of the following cases: - The customer information is outdated (the period specified has ended), or there is a change in the customer information, for example, a change in the commercial entity’s board of directors; - The customer's behavior in executing financial transactions on the account has changed. - The bank performs due diligence in case of ML/FT risks. b. Banks shall understand that official identification documents and approvals can be used to update account approvals; however, using such documents only is not sufficient to update the customer information. c. Accounts of correspondent banks shall be updated every three years maximum. d. Banks may accept updating the information of the customer via electronic banking services (e.g. online or phone banking) for those subscribing to such services, provided that the identification information is verified and documented using documents, data or information obtained from reliable and independent sources*. * This paragraph has been amended according to the circular No. (42033441), dated 20/05/1442H, corresponding to 03/01/2021G . 5. Inoperative Accounts This rule has been respectively amended according to the circular No. (44071426), Dated 07/09/1444H, corresponding to 28/03/2023G , and circular No. (46015210), Dated 06/03/1446H, corresponding to 09/09/2024G . Accounts, relationships and transactions shall be considered non-moving after two calendar years from the date of the last financial transaction carried out by the customer, his/her authorized representative, or his/her heirs. Inoperative accounts are divided into three types as described in this Rule. The purpose of this Rule is to keep accounts active, save the customer assets (money) that have not been used for a financial transaction (withdrawal or deposit – depending on the nature of the relationship), recorded debit transactions, or documented correspondences during the period specified in Article (5.2) . The Rule also supports communicating with customers, returning the rights to their owners upon request immediately after the completion of documents and necessary procedures, changing account status to abandoned if banks are unable to reach the account holder after using all methods of contact. Accounts of government entities shall be excluded from the provisions of this Rule in respect of the phase of abandoned accounts only as set forth in paragraph (5.2.4) , and the bank accounts for enforcement courts that are established for the purpose of collecting enforcement amounts are excluded from all three stages of classification outlined in Article (5.2) . Accounts of statutory reserve deposited by financial institutions supervised by SAMA, whose balances are not allowed to be disposed of without prior written permission from SAMA, shall also be excluded from the provisions of this Rule.