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Car Ownership in Saudi Arabia: Your Ultimate Guide

Last Updated On Wed May 22 2024

Becoming a car owner is a big step: it can be a major milestone in your life, it can represent a great financial commitment and it can change your lifestyle quite dramatically.

Unfortunately, it’s not always a smooth road to car ownership in Saudi Arabia. But we’ve got the details of all the possibilities and we’re going to break it down for you.

Traditional Car Ownership

First, it’s the classic approach: buying a car outright. This involves spending a lump sum of cash you have saved or taking out a loan to purchase the car, which can be a hefty investment upfront.

According to market data, around 70% of cars in Saudi Arabia are owned this way, involving loans and banks, since many drivers out there think it’s the only possibility. Below is what you need to know about traditional car ownership:

Loans and High-Interest Fees

Purchasing a car through a loan involves borrowing money from a bank or financial institution to cover the cost of the vehicle. This alone should be a warning.

While it allows drivers to spread out the hefty upfront cost over time, it often comes with high-interest fees, which will significantly increase the overall price of the vehicle.

Obstacles to Approval

Then, drivers need to remember that banks and financial institutions typically assess a borrower's credit before approving a loan. This involves scrutinizing many pieces of information to determine whether or not a buyer will be approved.

For those who don’t have the almost unattainable requirements banks make, it’s an automatic no on a loan.

Down Payments and Collateral

Down payments are huge most of the time. Usually, 20% of the car’s purchase price is due upfront. If you’re looking at a 100,000 SAR car, that’s 20k due to get your loan to pay the rest of the car.

Yes, you read that right. You pay your lender so they can lend you money to pay for the car. It is also common for banks and financial institutions to require some collateral to secure the loan, such as assets you might have.

Lengthy Approval Process

Okay, so you have the down payment, your credit score is good and you meet the other demands: here comes the lengthy, bureaucratic approval process to actually get approved.

If you were counting on a new car by the following week, you were way off. Yes, it can be frustrating, especially when the delay in the approval process can cost you a good deal the dealership was offering.


Leasing is the second most famous car ownership option – most people know it, and some choose to partake in it. It basically means renting a car for a set period of time, usually 2-3 years, while paying a monthly fee.

While you won't own the car at the end of the lease, leasing offers flexibility and lower monthly payments compared to buying outright through a traditional ownership process. But it involves fines and cancellation fees, and it is a commitment just as much.

Invygo's Subscribe to Own

Now, let's talk about invygo's game-changing Subscribe to Own Plan, which offers the best of both worlds: the freedom of traditional ownership with the flexibility of leasing. Yes, we mean it.

It’s a no-long-term commitment, no-hassle option to get the car you’ve always wanted. There’s no down payment, no loan, and no interest fees. You choose the car, provide your documents, and pay a monthly fee.

At the end of the contract you selected – which you can cancel at any time, by the way – you decide if you want to keep the car or not.

Flexibility at Your Fingertips

The Subscribe to Own Plan offers drivers unparalleled flexibility when it comes to owning a car. With invygo's subscription plans, drivers have the flexibility to choose the duration of their subscription, whether it's six months, a year, or longer. This means you can tailor your ownership experience to fit your lifestyle and driving needs without being locked into a lengthy contract.

All-Inclusive Package

With the Subscribe to Own Plan, everything you need is included in one convenient package: insurance, maintenance, and roadside assistance, as well as a replacement car when and if needed. No more worrying about unexpected expenses or hidden fees—just peace of mind and smooth sailing from start to finish.

Seamless Online Experience

There are no paperwork or long wait times involved. With invygo's seamless online platform, the entire car ownership process is done through the app. You browse invygo's extensive inventory, choose the one you want and the length of the subscription plan, upload your documents, and complete the entire transaction from your phone or computer. It's car ownership made easy.

Option to Own

Perhaps the most exciting feature of invygo's Subscribe to Own Plan is the option to purchase the car at the end of your subscription period. This means you can test drive your dream car without the commitment, and if you fall in love along the way, you have the opportunity to make it yours for good. Plus, with a discounted purchase price, it's a win-win for drivers looking to take the plunge into ownership without the hefty upfront cost.

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