KUWAIT CITY, Sep 30: The Central Bank of Kuwait (CBK) has issued a directive to all local banks, electronic payment service providers, and e-money service providers, prohibiting them from collecting additional fees or commissions from customers for using KNET debit cards, credit cards, or any other electronic payment methods within Kuwait.

The decision comes in response to mounting complaints from consumers who reported being charged extra amounts when paying through point-of-sale (POS) devices or electronic payment gateways. The Central Bank stressed that such practices are unacceptable and violate customer protection policies.

To enforce this directive, the CBK has ordered financial institutions and payment service providers to update their agreements with merchants. These agreements must explicitly state that customers—the final beneficiaries—cannot be charged any additional amounts when using electronic payment methods, regardless of the card type or payment channel used.

The Central Bank further outlined three mandatory steps for compliance:

The CBK highlighted that its supervisory role is aimed at safeguarding consumer rights and maintaining fairness in the electronic payment ecosystem. It also confirmed that violators will face strict action, including suspension of services, until compliance is achieved.

Credit and debit cards, including widely used brands such as Visa and MasterCard, remain the most common methods of electronic payment in Kuwait. However, regardless of whether customers use debit, rewards, travel, or balance transfer cards, the Central Bank’s order ensures that no additional fees should be imposed on them when making payments inside the country.

The new directive reinforces Kuwait’s efforts to strengthen consumer protection, increase trust in digital transactions, and ensure that financial practices remain transparent and fair across the market.