Qatar Tightens Regulations on Installment-Based Car Sales

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On November 26, 2024, Qatar's Ministry of Commerce and Industry announced new guidelines for car dealerships that offer vehicles on installment plans. The updated rules aim to ensure better financial oversight and transparency for both dealerships and customers.

Read More: Car Trading in Qatar

Key Requirements for Dealerships

Car dealerships must now follow specific steps before offering installment options to buyers. First, they will need to obtain a credit report from the Qatar Credit Bureau to assess a customer’s financial situation. Additionally, they must request a salary certificate from the customer’s employer, confirming the basic salary and any relevant social allowances. A debt certificate from the customer's bank will also be required to confirm their current financial obligations.

#MOCIQATAR issues Circular No. (4) of 2024 Regarding Car Dealerships Selling Vehicles on Installments to Individuals. pic.twitter.com/cnpCDlyJxH
— وزارة التجارة والصناعة (@MOCIQatar) November 26, 2024

Deadline for Compliance

Dealerships have until December 26, 2024, to comply with these new requirements. The changes are designed to promote financial responsibility and prevent over-extension of credit to customers.

Mandatory Membership with the Qatar Credit Bureau

To facilitate these changes, car dealerships must become official members of the Qatar Credit Bureau. This will allow them to access necessary credit reports when processing installment requests.

Transparency for Customers

All car sales outlets must clearly display information on how customers can access their credit reports and other relevant services. This will ensure customers are well-informed throughout the car-buying process.

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Qatar Tightens Regulations on Installment-Based Car Sales

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