Introduction

In light of the rapid development of the financial sector and the increasing reliance on retail financing products, it has become essential to understand the legal and regulatory frameworks governing this activity in order to protect the rights of all parties and enhance financial stability.

This course is designed to provide participants with comprehensive knowledge of the legal foundations and regulations governing retail financing. It reviews the role of the central bank in supervision and regulation and explains the key laws and instructions governing financing and credit activities. The course also covers retail financing products and their governing rules, the rights and obligations of financing entities and customers, as well as key concepts in risk management and compliance. This contributes to enhancing the efficiency of professionals and ensuring compliance with regulatory requirements.

Course Objectives

• Enable participants to understand the legal and regulatory framework governing retail financing and the role of the central bank in supervision and oversight.

• Enhance knowledge of laws and regulations governing financing and credit activities to ensure compliance and reduce regulatory risks.

• Introduce participants to retail financing products, their governing regulations, and professional handling mechanisms.

• Clarify the rights and obligations of financing entities and customers, while promoting principles of transparency and consumer protection.

• Develop awareness of risk management and compliance concepts, including the Basel Accords and credit information systems.

• Provide participants with a fundamental understanding of legal collection procedures that ensure efficiency while safeguarding the rights of all parties.

Course Outline

Banking System and the Role of the Central Bank

• Introduction to banks and the banking system in the Kingdom.

• Definition of the central bank and its role in supervision and oversight.

Laws and Regulations

• Rules and regulations governing banking supervision.

• Key regulatory rules and central bank instructions related to banking credit (bank loans and credit cards).

Financing Products

• Retail financing products and services offered to individuals.

• Regulations governing financing approval and usage.

• Types of real estate financing and financial leasing regulations.

• Rights, responsibilities, and disclosure rules.

• Disclosure requirements for pricing of financing and savings products.

Basel III Agreements

• Overview of the Basel Accords for banking supervision.

• The impact of Basel agreements on confidence in the banking sector and regulatory oversight.

• Components of capital adequacy calculations, risk measurement, and classification methods.

• The impact of credit decision risks on evaluating banks’ solvency in international transactions.

Credit Information System

• The credit information system and entities subject to it.

• Executive regulations and the roles of relevant authorities.

Introduction to Collections

• Regulations and procedures related to customer collections.

• Rights of the parties involved and challenges in dealing with delinquent borrowers.

Target Audience

• Professionals working in credit departments in banks and financing companies.

• Employees involved in financing operations and loan approvals.

• Professionals working in collections and recovery departments.

• Compliance and risk management officers in financial institutions.

• Individuals interested in working in the field of retail financing and banking regulations.