SAUDI BANKS STARTED CHARGING SERVICE CHARGES FOR LOW-BALANCE BANK ACCOUNTS.

SAUDI BANKS STARTED CHARGING SERVICE CHARGES FOR LOW-BALANCE BANK ACCOUNTS.

SAUDI BANKS HAVE STARTED CHARGING SERVICE CHARGES FOR LOW-BALANCE BANK ACCOUNTS IN SAUDI. THE NEW CHANGE APPLIES TO ACCOUNTS WITH LESS THAN FIVE THOUSAND RIALS PER MONTH.

SOME BANKS STARTED CHARGING SERVICE TO ACCOUNTS OF MEDIUM AND SMALL ENTERPRISES WITH NO MINIMUM BALANCE. THIS HAS BEEN IN EFFECT SINCE JANUARY 1ST 2019. ACCOUNT MANAGEMENT IS CHARGED AT THE RATE OF 10 RIYALS PER MONTH INCLUDING VAT. THE NEW CHANGE AFFECTS ACCOUNTS WITH LESS THAN 5000 RATIOS PER MONTH ON AVERAGE.

THE BANKING SECTOR SAID THE CHANGES WERE MADE AFTER SOME FIRMS OPENED MULTIPLE ACCOUNTS IN DIFFERENT BANKS AND THEN REDUCED THE NUMBER OF TRANSACTIONS TO ONLY ONE OR TWO BANKS. THE GOAL OF NEW CHANGE IS TO STOP THE BENAMI BUSINESS TREND.