What are unlicensed activities?
As online investment opportunities and financial service advertisements continue to increase, it has become increasingly important to verify that entities are licensed before engaging with or transferring funds to them. Some entities often take advantage of such widespread online presence to promote financial services and activities without obtaining the necessary licenses from regulatory entities by offering promises of financial benefits and returns that may appear desirable to consumers. Dealing with such entities leads to significant risks, including fraud, financial loss, or involvement in illicit activities. Additionally, practicing unlicensed financial activities is illegal, as it violates laws and regulations that require financial institutions to obtain a license from the regulatory entities before practicing such activities.
What are the indicators of unlicensed activities?
The absence of an official license issued by a regulatory entity.
Offers that appear unrealistically attractive.
Promises of quick or guaranteed returns.
Communication through unofficial channels such as WhatsApp, Telegram, X, Snapchat, TikTok, and other social media platforms.
Pressure to make prompt decisions.
Advertisements and posters that are displayed on ATMs and other public locations.
Using names similar to licensed entities to create a false sense of credibility.
How to verify the legitimacy of financial institutions?
By visiting the official website of the licensing regulatory entity. A list of all entities licensed by SAMA is available at the following link:
For inquiries, please contact us via the unified number (8001256666).
You may also report unlicensed activities via email: CPDC@SAMA.GOV.SA