Buying a car is one of the biggest financial decisions for many people in Saudi Arabia, and choosing the right auto loan can make all the difference. With 2025 bringing new offers, competitive interest rates, and flexible repayment options, banks and financial institutions are making it easier than ever to own your dream car. Whether you are looking for a brand-new vehicle or a reliable used car, the Saudi auto finance market offers tailored solutions to meet different income levels and lifestyle needs. From Shariah-compliant financing to low down payment options, customers now have a wide range of choices. In this blog, we explore the best auto loan offers in Saudi Arabia for 2025, highlighting the key features, eligibility requirements, and benefits so you can make a smart and informed decision before hitting the road.
1. Al Rajhi Bank — low advertised APRs + dealer campaigns
Al Rajhi advertises auto lease offers with low annual percentage rates (example: “starting from 4.55% including insurance” on some campaigns) and flexible products (0% admin in some offers, balloon options). They also run manufacturer/dealer campaigns (e.g., Toyota campaigns with model-specific low APRs). If you see a “starting from” APR at Al Rajhi, confirm it’s for the model/term you want.
2. Saudi National Bank (SNB / AlAhli) — transparent example pricing & calculators
SNB publishes example APRs and payment tables for different tenors (examples in their lease finance pricing show APRs for sample amounts and terms). They offer multiple lease products (including special dealer programs) and have calculators you can use at the branch or showroom. Their sample pricing pages are useful to estimate real monthly payments for the term you want.
3. Alinma Bank — No down-payment options, special programs
Alinma lists auto lease products with features such as “no down payment” options and final payment (balloon) facilities; they also highlight specific programs for electric cars. Always check eligibility (salary transfer, residency status) before assuming “no down payment” will apply to your case.
4. Riyad Bank — flexible tenors & salary transfer packages
Riyad Bank offers Shariah-compliant auto leasing solutions with multiple tenors and packages that can be more competitive for salary-transfer customers. Check their product pages and branch offers for the up-to-date APRs and required documentation.
5. Banque Saudi Fransi & card EPP / zero-interest dealer plans
Some banks (or card-linked Easy Payment Plans) offer promotional 0% interest EPPs for dealer purchases or short-term installments (3–6 months) — good for very short-term finance or accessories. These are promotional and often tied to specific dealers or campaign windows.
How I compared offers
- Looked at product pages and published example pricing / campaigns (bank pages and dealer campaign pages).
- Focused on advertised APRs, common tenor lengths (36–60 months), down-payment and balloon/residual options.
- Built clear worked examples that readers can replicate with their own numbers.
Worked examples
Below are concrete examples so readers see the monthly payments and total cost difference.
Assumptions (used for all examples):
- Car price: SAR 150,000
- Buyer makes 20% down payment = SAR 30,000 → Financed amount = SAR 120,000
- No fees, no insurance differences included in the arithmetic below (banks may add admin fees, Takaful/insurance, VAT, or processing fees — include those when you apply).
- All payments are equal monthly installments (no balloon). (Note: many bank products do offer balloon/final-payment options — see each bank’s product page.)
Example A — 5 years (60 months) at 4.55% APR (Al Rajhi example “starting from 4.55%”)
- Monthly payment (120,000 financed): SAR 2,239.89
- Total paid over 60 months: SAR 134,393.50
(This uses the advertised “starting from 4.55%” figure — your rate will depend on credit & product.
Example B — 5 years (60 months) at 8.91% APR (SNB sample 5-year example)
- Monthly payment (120,000 financed): SAR 2,485.76
- Total paid over 60 months: SAR 149,145.86
(SNB publishes examples with APRs in this range for sample terms — your actual APR may differ.)
Example C — 3 years (36 months) at 9.44% APR (SNB sample 3-year example)
- Monthly payment (120,000 financed): SAR 3,840.59
- Total paid over 36 months: SAR 138,261.21
(Shorter tenor → higher monthly but lower total interest paid in many cases.)
(Computation note) — monthly payments above were computed using the standard loan-amortization formula given the APR, financed principal and months. The numbers above are rounded to two decimals for readability. You should use each bank’s own calculator (or a trusted comparison site) to get the exact monthly figure that includes fees and insurance.
Practical tips to get the best auto financing deal
- Ask for the effective APR (all-in) — Some banks advertise a low headline rate but add admin fees, insurance or higher charges for non-salary transfer customers. Ask for the APR that includes mandatory fees.
- Check dealer promotions — Carmakers and dealers often run limited-time campaigns (1.99% or similar) on specific models; those can beat regular bank pricing. Always confirm the campaign end date and eligible models.
- Consider tenor carefully — Shorter tenor = higher monthly payment, lower total interest. Longer tenor lowers monthly but increases total cost. Compare both.
- Balloon (final) payment options — If you expect to trade the car or pay a lump sum later, a balloon/residual plan reduces monthly cashflow but leaves a final lump sum — read the terms.
- Negotiate total package — Banks and dealers often negotiate down-payments, waive admin fees, or include free servicing for the first year — ask.
- Compare using aggregator sites — comparison portals in KSA summarize many offers (use them to shortlist then go to the bank/dealer for exact quotes).
- In 2025, you can find single-digit APRs on some bank/dealer campaigns (great if you qualify), but typical advertised examples vary (banks publish sample APRs by term). Always compare the all-in APR, fees and product features (balloon, tenure, required salary transfer). Use the worked examples above as a template — plug in your car price, down payment and the APR you’re quoted to compare offers side-by-side.
