Other BriefingsSaudi Arabia Cuts Banking and Payment Fees Under New Guide
Saudi Arabia New Fees Guide introduces lower and capped charges across banking and payment services, strengthening consumer protection, financial inclusion, and digital adoption under Vision 2030. As institutions adjust their pricing and systems, the reforms are set to make everyday financial services more transparent, affordable, and competitive for individuals and businesses alike.
On December 22, 2025, the Saudi Central Bank (SAMA) issued a new Fees Guide for Financial Institutions’ Services (hereinafter, the “New Fees Guide” or the “guide”), replacing the existing Banking Tariff with a broader framework that significantly reduces and caps customer charges across a range of banking and payment services. The updated guide marks a major regulatory step toward simplifying and lowering the cost of everyday financial services for individuals and businesses in Saudi Arabia.
The reform is designed to make banking and payment services more affordable, transparent, and inclusive, aligning with SAMA’s broader economic and regulatory goals. By lowering maximum fees and tightening disclosure requirements, the initiative supports consumer protection, financial inclusion, and digital transformation in the financial sector, enhancing confidence among users and encouraging greater adoption of electronic financial services.
The New Fees Guide applies to all financial institutions supervised by SAMA, including traditional banks and payment companies, and is expected to take effect within approximately 60 days of publication. This gives institutions time to update their fee schedules and customer disclosures ahead of implementation.
Background on Saudi Arabia New Fees Guide
Regulatory context
The newly issued Fees Guide for Financial Institutions’ Services marks a significant update to Saudi Arabia’s regulatory framework governing banking and payment charges.
Introduced by the Saudi Central Bank, the guide replaces the previous Banking Tariff and represents the first edition to apply across a broader range of regulated financial institutions, including payment service providers, while constituting the third revision of the fee framework for the banking sector. This expanded scope reflects the growing complexity and diversification of Saudi Arabia’s financial ecosystem, particularly as digital banking and non-bank payment services continue to gain traction.
Objectives
At its core, the new guide seeks to promote fair and reasonable pricing across banking and payment services. By setting clearer caps and parameters for fees, the framework aims to reduce cost burdens on customers and limit pricing disparities across institutions.
In parallel, enhanced transparency and disclosure requirements are intended to strengthen customer confidence by ensuring that fees are clearly communicated and easily comparable, reducing the risk of hidden or unclear charges.
Another central objective is to support the adoption of digital financial channels and advance financial inclusion. By lowering or standardising fees for electronic transactions and digital services, the guide encourages greater use of cashless payments and online banking solutions, aligning with national efforts to modernise the financial sector and broaden access to formal financial services.
From a supervisory perspective, the Fees Guide forms part of SAMA’s wider regulatory mandate to modernise financial-sector frameworks and establish consistent, market-wide standards. It reinforces the central bank’s role in balancing innovation and competition with consumer protection, while ensuring that pricing practices remain aligned with broader economic and financial policy objectives.
Key fee reductions and changes
Administrative and financing fees
Administrative fees associated with non-real estate financing products, including consumer finance and motor finance leasing, have been cut significantly. Previously, the maximum administrative fee a bank could charge was 1 per cent of the finance amount or SAR 5,000 (US$1,333), whichever was lower.
Under the New Fees Guide, this cap has been reduced to 0.5 per cent or SAR 2,500 (US$666.53), whichever is less, lowering upfront costs for borrowers.
Payment card fees
Fees related to the national Mada debit card have been capped at far lower levels:
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Re-issuance of Mada cards (lost, damaged, or after three incorrect pin entries) has been reduced from SAR 30 (US$8) to SAR 10 (US$2.67).
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International purchase transactions using Mada cards are now capped at 2 per cent of the transaction amount.
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International cash withdrawals (excluding GCC NET) are capped at 3 per cent of the amount, with a maximum of SAR 25 (US$6.67).
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Invalid objection fees for disputes over transactions or account statements are capped at SAR 15 (US$4).
Transfers and digital payments
Fees for domestic electronic transfers have been standardised and lowered to encourage digital payment adoption:
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Transfers of up to SAR 2,500 (US$666.55) carry a fee of SAR 0.5 (US$0.13).
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Transfers above SAR 2,500 (US$666.55) up to SAR 20,000 (US$5,332.40) are capped at SAR 1 (US$0.27).
These changes apply to transfers initiated from bank accounts and digital wallets.
Check and standing order services
Common check-related charges have been reduced:
- Issuance of a bank check is now SAR 5 (US$1.33; down from SAR 10).
- Copy of a check older than one year is now SAR 10 (US$2.67; down from SAR 20).
- Setting up a standing payment order at a branch is reduced from SAR 15 (US$4) to SAR 5 (US$1.33), and revoking a standing order is now free of charge.
Account documents
Several documentation fees have been removed or made more affordable, particularly when accessed digitall, reinforcing transparency and customer empowerment:
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First issuance of a debt confirmation or debt transfer certificate is now free of charge.
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Account statements for the last year are free; and
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Older statements incur a nominal fee if requested in branch, or no charge if obtained electronically.
| Selected Fee Caps, Before vs. After Saudi Arabia New Fees Guide | ||
| Service | Previous Maximum | New Maximum |
| Non-real estate financing admin fee | 1 % or SAR 5,000 | 0.5 % or SAR 2,500 |
| Mada card re-issuance | SAR 30 | SAR 10 |
| International purchase | — | 2 % of transaction |
| Intl. cash withdrawals (excl. GCC NET) | — | 3 % (max SAR 25) |
| Bank check issuance | SAR 10 | SAR 5 |
| Standing order setup (branch) | SAR 15 | SAR 5 |
| Electronic transfer ≤ SAR 2,500 | varied | SAR 0.5 |
| Electronic transfer ≤ SAR 20,000 | varied | SAR 1 |
Implementation timeline and industry response
The new Fees Guide is scheduled to take effect within approximately 60 days from its issuance, providing financial institutions with a transition period to align their operations with the revised requirements. During this time, banks and payment companies are expected to update internal systems, revise fee schedules, and adjust digital platforms to reflect the new caps and pricing rules.
Institutions will also need to enhance customer communications and disclosures to ensure compliance with transparency requirements, particularly across mobile banking applications and online channels. Early industry commentary suggests that while the changes may compress fee-based revenues in certain service categories, they are broadly viewed as consistent with the sector’s longer-term shift toward volume-driven, digital-first business models.
Fintech stakeholders are expected to benefit from the reforms, as lower and standardised fees reduce friction for digital payments and increase user adoption. Consumer advocacy groups have also welcomed the move as a step toward fairer pricing and improved customer protection, particularly for frequent users of basic banking services and small-value transactions.
Regional and sectoral significance
The Fees Guide aligns closely with Saudi Arabia’s Vision 2030 objectives, which place strong emphasis on financial sector modernisation, digital transformation, and inclusive growth. By embedding affordability and transparency into the regulatory framework, the initiative supports the development of a competitive and technology-driven financial ecosystem.
Regionally, the move reflects a broader trend across the Gulf Cooperation Council (GCC), where regulators are increasingly revisiting banking and payment fee structures to promote cashless transactions and consumer-friendly practices. Similar reforms in neighbouring markets underscore a shared policy direction aimed at strengthening trust and efficiency in financial services.
Within Saudi Arabia, the guide complements ongoing investment in national payment infrastructure, including the Mada debit network and the SADAD payment system. Together with expanding fintech participation, these reforms contribute to a more integrated, resilient, and accessible payments ecosystem.
Conclusion
The New Fees Guide issued by the Saudi Central Bank represents a meaningful regulatory shift toward customer-centric pricing and enhanced transparency across banking and payment services. By lowering and capping key fees, the framework supports consumer protection, financial inclusion, and the continued expansion of digital finance.
As banks and payment providers adapt their pricing models and service delivery, the reforms are expected to foster a more competitive and innovation-driven financial environment. For consumers and micro, small, and medium-sized enterprises, clearer and more affordable fee structures should reinforce confidence in Saudi Arabia’s evolving financial sector, supporting broader economic modernisation objectives under Vision 2030.
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