الشروط والأحكام

Terms & Conditions
1. Product offered by Tawkelat Financing shall be a (rent-to-own) or, in other words, a financial lease.
2. Vehicle shall be owned by Tawkelat Financing till fully paying the due amounts under the contract.
3. The contract value shall consist of the asset price, the advance rental payment (if any), insurance, and profits throughout the rental period. Additionally, they shall be due as monthly or annual rental payments or a final payment, if any.
4. Vehicle ownership shall be transferred to the lessee once the due amounts under the contract have been paid in full.
5. The lessee shall be obliged to ensure that all requirements of the ownership transferring are complete. Accordingly, he shall submit an official request for transferring the ownership within 30 days of full payment of the contract.
6. Potential risks of failing to pay the due amounts under the contract: If the customer delayed or failed to pay 3 consecutive installments or 5 miscellaneous installments, Tawkelat Financing shall have the right to take each or some of the following actions:
a. Financing rental vehicle shall be restored by the licensees and it shall be evaluated and sold in the case of expiring the notice period or failing to pay the due amount.
b. Requesting the judicial and quasi-judicial entities in Saudi Arabia to order paying the due amount.
7. Tawkelat Financing shall have the right to charge fees or to continue collecting daily rental fees from the lessee for failing to transfer the ownership within 30 days. Additionally, the lessee shall be obliged to compensate for each day delayed in returning the leased asset by paying the daily wage of the leased asset under the contract using the following formula: (Value of final due rental payment / number of days of the month on which the contract has been avoided) Number of days of delay = wage value.
8. The lessee may waive the vehicle or transfer any of his rights and obligations arising therefrom to any party after obtaining the lessors written approval and fulfilling all requirements of Tawkelat Financing.
9. The lessee shall pay the final payment in full when due or execute one of the following options within 30 days:
a. Rescheduling the amount of the balloon payment in exchange for an additional fee (additional profit), and an administrative fee of 1% or 5,000 Saudi Riyals, whichever is lower, along with any other fee.
b. Returning the vehicle to Tawkelat Financing, and the lessor shall evaluate the vehicle by the competent evaluators and sell the vehicle. Accordingly, the lessee shall be obliged to cover the loss difference arising from the vehicles sale and the amount of early acquisition.
10. The lessee (non-Saudi), upon being notified of the termination of his employment contract and prior to his final departure from the Kingdom of Saudi Arabia, shall be obliged to pay the full amount of the account settlement. Additionally, the lessor shall, at its discretion, have the right to take all possible actions to protect his rights, including prohibiting the lessee from traveling and pursuing him judicially by the competent entities within the Kingdom of Saudi Arabia and in any State, if non-compliance.
11. The lessee may buy the vehicle and transfer the ownership to his name before the contract expiration by early payment of the contract, complying with all requirements of the ownership transferring.
12. The lessee shall be obliged to pay all due amounts under the contract on time. Accordingly, Tawkelat Financing may disclose this to the competent entities.
13. Tawkelat Financing shall have the right to request any information or document from the lessee which is important from the perspective of Tawkelat Financing or the regulators.
14. Tawkelat Finance shall have the right to verify the lessees credit record by Saudi Credit Bureau (Simah) once in a while.
15. The vehicle shall be fully insured throughout the period of the contract validity, and the lessee shall be obliged to pay the tolerance of the lessor’s insurance company. Additionally, the lessee shall be obliged to cover the loss arising from damaging the vehicle if the total damage arises from encroachment or negligence by the lessee. In the case of total loss, the lessee shall be obliged to pay the difference between the financing request and the insurance due depending on the lessee’s liability of the incident according to the total loss calculation instructions by the Saudi Central Bank (SAMA).
16. The lessee shall be obliged to keep the leased asset always in good working order. All periodic maintenance of the vehicle shall be carried out according to the time schedule provided by the manufacturer or authorized agent. Additionally, the lessee shall be liable for any non-compliance with service and maintenance requirements without any liability for Tawkelat Finance. Accordingly,
17. The lessee may not allow any other individual to use the vehicle unless obtaining an official authorization from Tawkelat Finance.
18. The lessee shall accept full financial and legal liability for any consequences arising from the permission to drive the leased vehicle by any unauthorized individual or minor, including but not limited to the cost of insurance by the insurance company, the costs of repairing the vehicle, insurance fees from a third party, or any government fines, etc.
19. The lessee shall be responsible for all traffic violations and government fees for failing to renew the Vehicle License or registering the vehicle.
20. The company shall have the right to collect 1% or SAR 5000 whichever is less as administrative fees on the amount of the financing.
21. If the lessee has requested any service with fees including VAT, Tawkelat Finance shall have the right to collect these fees from the lessee.
22. The customer shall understand and bear full responsibility to ensure that he can manage all current and future financial obligations before obtaining another financial obligation, which may result in a negative impact on the customers credit record (Simah) and difficulty in benefiting from financing products.
23. Before receiving the vehicle, Tawkelat Finance shall have the right to cancel the customer’s contract without consulting him in case of expiring the validity of the insurance rate.
24. VAT shall be applied to all leased vehicles and to financing services at a rate of 15% according to Zakat, Tax, and Customs Authority regulations.
25. If the lessee dies, he shall be exempted from the due amounts under the financing contract within thirty days from the date of receiving the relevant documents, except in the following cases:
a. The lessee’s attempt to commit suicide, whether he was sane or suffering from a psychological disorder at the time.
b. Natural disasters.
c. Decisions of the competent court or judicial authority under the applicable regulations in the Kingdom of Saudi Arabia.
d. Abusing alcohol, drugs, or generic drugs.
e. Participating or training in any dangerous sport or competition, such as participating in horse or motor racing.
f. Death arising from the nature of the work.
g. If it arises from or is contributed to by nuclear weapons, radioactivity, or radiation contamination from any nuclear fuel or waste resulting from the combustion of nuclear fuel, war, invasion, acts of foreign aggression, acts of aggression, quasi-hostilities, acts of sabotage, and terrorism committed by a person or persons acting individually or on behalf of or in connection with any terrorist organization.
26. Early settlement: The lessee has the right to accelerate settlement of the remaining financing amount at any time during the contract period, provided that the following is paid:
1. The amount of the reinvestment cost for the three months following settlement, calculated on the basis of the decreasing balance.
2. What the Tawkelat Financing company pays to a third party due to the financing contract from the expenses stipulated in the contract if they are expenses that cannot be recovered, for the remaining period of the financing contract.