Regulatory Rules for Prepaid Payment Services in the Kingdom of Saudi Arabia

Third party use of contracting entity (an individual or a juristic person or government entity) and/or primary cardholder data Prior consent of the primary cardholder is needed when the issuer or a third party wishes to use the primary cardholder’s personal data for services additional to the purpose for which it has been collected (e.g., for e-marketing purposes), except when: a) The issuer or the third party is required to do so in order to comply with a legal obligation (e.g., responsibility to comply with regulations relating to money laundering); or b) The data is non-attributable and its use is defined in the contract to which the primary cardholder is party (note: primary cardholders can provide such consent as part of the application process). 2.7 Distance Selling of Reloadable Products 2.7.1Distance selling rules and guidelines The distance selling rules and guidelines described in this section are applicable whenever a prepaid account and payment device is requested via an internet website, call centre or postal mail. Distance selling applications to an eligible prepaid issuer within the Kingdom for a prepaid account originating from outside the Kingdom of Saudi Arabia. 2.7.2 Provision of contracting entity (an individual or a juristic person or government entity) with contractual terms and conditions All contractual terms and conditions must be provided in a written form (including electronically). 2.7.3 Confirmation of contract receipt by the contracting entity (an individual or a juristic person or government entity) Upon completing the electronic full verification (see 2.3.1 ), the Issuer must confirm that the contracting entity (an individual or a juristic person or government entity) has received the contract information by contacting the primary contracting entity (an individual or a juristic person or government entity) via telephone, postal mail or email or any other electronic means. Contracts can be concluded online. 2.7.4 Cooling off period The contracting entity (an individual or a juristic person or government entity) shall be entitled to a cooling-off period of 14 days, during which they may terminate the initial contract without any penalties. a) The issuer can start the provision of services during the cooling-off period provided the contracting entity (an individual or a juristic person or government entity) agrees to such and the full verification where appropriate has been completed. Agreement during the cooling-off period is deemed granted when contracting entity (an individual or a juristic person or government entity) activates the payment device. Such agreement may not restrict the contracting entity's (an individual or a juristic person or government entity) right to cancel within the 14 day period; b) If the contracting entity (an individual or a juristic person or government entity) terminates the contract during the cooling-off period, the contracting entity (an individual or a juristic person or government entity) will be entitled to a full refund of any unused balance (the difference between any loads and spend, and between withdrawals or fees charged to the prepaid payment service account). 2.8 Consumer Protection 2.8.1 Provision of disclosures The issuer shall provide the disclosures required under this section on or with any application that is made available to the customers, including one contained in a catalogue, magazine, or other generally available publication, to open a prepaid payment service account.