Partial withdrawals of deposit amount

 During the deposit operation, the depositor may make partial withdrawals of the deposit amount. In that case, the interest accrued as of the date of withdrawal is recalculated under the following conditions:

Period from the date of deposit opening to the withdrawal of the amount	Recalculation interest rate*
Up to 6 months inclusive	Interest rate set for demand deposit in the bank is 0.1%
From 6 months to 1 year inclusive	Interest rate of 6-month Karas deposit in the respective currency
From 1 year to 18 months inclusive	Interest rate of 1-year Karas deposit in the respective currency
More than 18 months	Interest rate of 18-months Karas deposit in the respective currency
*valid at the time of withdrawal and published on the Bank's website

In case of partial withdrawals of the deposit amount, the recalculation is made in the sequence of the deposited amounts, starting from the deposit amount invested on the date of signing the agreement.

Attention

Income tax is taxable from interest payments at 10% for deposits opened in Armenia at 5% for deposits opened in Artsakh

For cash redemption of deposit opened non-cash, commission is charged at 0.25% for AMD / by daily quotation for USD

Calculation example 

Initial deposit	500,000 AMD
Opening day	15/02/2023
Maturity	18 months (until 15/08/2024)
Annual interest rate	9.75%
Payment of interests	At expiry
Income tax	10% from interest income
Adding	10,000 AMD monthly

The deposit interest amount is calculated in the following manner:

 

Daily interest income before replenishment
500,000 (deposited sum) x 9.75/100 (annual interest rate) / 365 (number of days in a year) = 133.56
Daily interest rate after the 1st replenishment
510,000 (deposit balance) x 9.75/100 (annual interest rate) / 365 (number of days in a year) = 136.23
Daily interest rate after the 2nd replenishment
520,000 (deposit balance) x 9.75/100 (annual interest rate) / 365 (number of days in a year) = 138.90

 

The daily interest income increases after each sequential replenishment.
The interest income is accrued on deposit balance on a yearly basis.

Pre-tax accrued interest: AMD 87,787.89
After-tax accrued interest: AMD 79,009.10
Total added sum: AMD 170,000
Total deposit amount (initial deposit + added sums + after-tax interests) - AMD 749,009.10

Deposit calculator - https://conversebank.am/hy/karascalc

Calculated amounts are rounded up to one hundredth.

Annual percentage yield

The interest against the funds on your account are calculated based on the nominal interest rate, and the annual interest yield shows the income you would earn if you redeposited the interests generated against the deposit.

The annual percentage yield is calculated based on the following formula set under the CBA Regulation 8/02 “Calculation of Annual Percentage Yield of Bank Deposits”

APY=(1+r/ո)^ո-1

 where

• APY – annual percentage yield
• r – annual simple rate
• ո – number of capitalizations of interest in 1 year
   

General Terms for Opening of Deposit
1. Time deposit agreement is concluded between the Bank and the Depositor.
2. The depositor can be more than one person according to the agreement, in that case the agreement is signed by all and the deposit is managed and used with the right of joint ownership.
3. If depositors are more than one person the Deposit and accrued interests are paid to all depositors proportionally, or to one of them on the basis of a notarized power of attorney signed by the others.
4. Any person can enter sums to the deposit account if the account details are available while withdrawals are made only by the client or by a person authorized by him.
5. The depositor can open the deposit in the name of a third person according to the legislation of RA and internal normative acts of the Bank.
6. The deposit can be opened online (without the possibility of making a deposit in favor of a third party) via Online Banking system https://conversebank.am/en/internet-banking/.

Calculation and Payment of Interests

1. The interests are calculated against the actual balance of the deposit from the day of opening of the deposit until the day preceding the day of its return to the depositor or withdrawal from the depositor’s account on other grounds.
2. The Bank calculates the interests at a simple interest rate, taking 365 days in a year or 366 days in a leap year as a divisor.
3. The interest amount is calculated on a daily basis against the account balance.
4. Where the time deposit is opened with a foreign currency, the interests are paid to the depositor with AMD at the respective buy rate set by the Bank at the date of payment for the respective currency or, at the depositor’s discretion, with the currency of the deposit.
5. The interests calculated against the deposit, unless the depositor has received in the period set in the deposit agreement, are paid by the Bank to the depositor on the latter’s demand.
6. Unless the depositor demand the redemption of the deposit and the payment of the calculated interest after expiry, the agreement is deemed renewed on the terms and conditions of time deposits applied by the Bank at that point, unless otherwise required in the customer’s deposit agreement or based on the customer’s written instruction.

Additional information

1. Time deposit accounts are opened and serviced free of charge.
2. The deposit account is closed once the deposit agreement expires.
3. No current banking transactions can be executed on the deposit account other than opening and redemption of the deposit.
4. The deposit is opened at branches from the savings account with the currency of the deposit; in the absence thereof, the deposit is opened free of opening and service charge.
5. The interests accrued on the deposit and the funds credited to the deposit account are paid to the depositor free of any commission.
6. The information about the deposit opened with the Bank is deemed bank secrecy and the Bank guarantees its confidentiality.

Early Termination of Deposit Agreement

1. If the time deposit is returned on the depositor’s demand before expiry, based on the depositor’s application, the interests are recalculated and the recalculation is made at the demand deposit rate applied by the Bank (currently 0.1%).
2. When the depositor dissolves the FX time deposit agreement on the condition of directly concluding a time deposit agreement with AMD on similar terms, the interests are not recalculated.
    

Communication with the Bank

You can communicate with Converse Bank CJSC either by mail or by email, whichever you prefer. Electronic correspondence is the most convenient, it is 24/7 accessible, is free of any risk of loss of paper-based information and ensures confidentiality.
In addition, during the term of the contract, through electronic communication or by your choice, in another way (for example, postal communication, in the Bank's territory - in person, etc.), the Bank will provide you with the changes and amendments in legal acts and other circumstances having direct impact on the general terms of service and other fees, the order of communication, rights arising from the contract, obligations or responsibilities.

Tariffs for issuance of statements and references

Handover of statements1 at the Bank (VAT included)
Individuals	Issuance of statement to customer in periods set under the RA laws and/or the agreement: AMD 0  Issuance of electronic statement to customer in periods set under the RA laws and/or the agreement: additional issuance at the customer’s discretion by the method and for the period preferred thereby (1 statement per period): AMD 0  In addition to the periods set above: - for up to 3-year period: 1,000 AMD - for 3-year and longer period: 3,000 AMD  (if stored by the Bank)
Legal entities	Once (regardless the periodicity)՝ AMD 0 If copied: - up to 1-month period– AMD 1,800 - from 2-month to 1-year period - AMD 3,000 - from 1-year to 3-year period– AMD 12,000 -from 3-year and longer period - AMD 24,000 (if stored by the Bank)

References to be submitted to various institutions1 (VAT included)
For deposits opened in 1 month2	5,000 AMD
For deposits opened earlier	3,000 AMD
Based on online application in the Bank’s site	3,000 AMD

¹For the simultaneous issuance of a reference and a statement to the same customer, the charge is applied only to the reference if such charge is set.
² In the presence of several accounts, the date of opening of the earliest account is considered, irrespective of being included in the reference.

Copies of Documents, Transaction Grounds and Other Information (VAT included)
For up to 1-month period	1,800 AMD per document
For up to 1-year period	3,000 AMD per document
For over 1-year period	12,000 AMD per document

Postal Delivery of Statement (VAT included)
In Armenia and Artsakh	Individuals - 0 AMD Legal entities – 500 AMD
International	Delivery service provider’s rate in cases under the law and the agreement In other cases, Delivery service provider’s rate + 1,500 AMD
Delivery of Statements by Registered Mail (VAT included)
In Armenia and Artsakh		3,000 AMD
International		Delivery service provider’s rate + 5,000 AMD

NOTE

The Bank cannot unilaterally decrease the interest rate set under the deposit agreement for the deposit, which the individual has opened on the condition to receive it back at the expiration of a specific period or upon the occurrence of circumstances set under the agreement. The Bank has the right to unilaterally change the amount of interest set under the deposit agreement, which the legal entity has deposited after the expiration of a certain period or upon reaching the circumstances stipulated in the agreement, by notifying the depositor legal entity within seven days after the change. The change in the amount of interest rate comes into force on the 31st calendar day after notifying the depositor-legal entity in written form. In case the customer does not agree to the new terms, the agreement is terminated, and  Bank pays the customer the deposit amount and the accrued interests.

The Bank can revise and amend Tariffs and Rates for additional services by giving a notice to the customers in the manner set under the agreement: by posting a message on the Bank’s website (www.conversebank.am), by making the information available in the Bank’s premises, by post delivery and by other methods offered by the Bank and selected by the Customer, which shall be deemed the proper notification of the Customer.

For the purpose of the Customer’s due diligence in compliance with the RA Law on Combating Money Laundering and Financing of Terrorism, the Bank can demand additional documents or other information from the consumer and as well ask additional questions to the customer on “Know your customer” principle.

Based on the Foreign Account Tax Compliance Act (FATCA) Agreement concluded with the USA, the Bank can collect additional information to clear out your status of a US taxpayer.

The Customer’s rights to dispose the account and the cash on the latter can be restricted by the court decision based on the claims filed by the Enforcement Service or tax authorities or any other competent authority specified in the law.

The funds can be confiscated from the account without the Customer’s instruction by the court decision based on the claims filed by the Enforcement Service or tax authorities.  They are reflected in the customer’s bank account statements, which the Bank issues to the Customer in the manner agreed between the Bank and the Customer.

List of Required Documents
For individuals (except for private entrepreneurs):

• An ID card
• Public Service Number (PSN) or reference to the absence of PSN (only for RA residents and/or citizens); is not needed if the customer discloses an ID card bearing the PSN

For a resident legal entity, an organization that is not a legal entity / does not have the status of a legal entity (hereinafter referred to as a legal entity)
Statute:
The Decision of the founder set by the RA legislation or minutes of the general meeting of the founders for the corresponding organizational-legal type of legal entities, if the information on the founder's (shareholders, participants) shares and other data is missing in the statute, moreover:

• If the shareholders or participants are individuals, information on the number of shares, ID card information, registration address, telephone number (if available),
• In case the shareholders or participants are legal entites, the statute of the organization, state registration certificate, in case of a joint stock company, a certificate on shareholders possessing more than 5% share from the Central Depository of Armenia, VAT number, if it is not included in the state registration certificate,

Provided that the client deals with activities subject to licensing defined by the RA Law on Licensing, the relevant license (if available),
State registration certificate issued by the RA State Register of Legal Entities Agency,
Registration number of a taxpayer (VAT / tax code), if it is not included in the state registration certificate of the legal entity
Copies of the ID document (s) of the executive officers set by the statute.

For non-resident legal entity
Statute:
Founding documents in accordance with the legislation of the country (certificate of incumbency, certificate of incorporation, etc.)
Information about shareholders, participants, if not mentioned in the statute, moreover:

• If the shareholders or participants are individuals, information on the number of the shares, the details of the identity document, registration address, telephone number (if available)
• If the shareholders or participants are legal entities, the statute of the organization, the state registration certificate, in case of a joint-stock company a certificate on the shareholders possessing more than 5% share, VAT number

Provided that the client deals with activities subject to licensing defined by the RA Law on Licensing, the relevant license (if available),
Certificate of state registration issued by the relevant authority of the given country,
Copies of the ID document (s) of the executive officers set by the statute.

For private entrepreneurs

• State registration certificate issued by the RA State Register of Legal Entities Agency
• Provided that the client deals with activities subject to licensing defined by the RA Law on Licensing, the relevant license (if available),
• VAT number (tax code), if it is not included in the state registration certificate
• ID card
• Public service number or a reference of not having PSN (required only from RA residents and / or citizens) is not required if the customer presents an identification card bearing PSN.

In addition to the aforementioned documents, the Customer has to disclose the proofs of origin of the amount and/or a declaration on the origin of the financial resources if the deposited sum, as well as the total sum of the previous deposits and the currently deposited sum are in excess of AMD 7 million or equivalent in foreign currency.
The aforementioned documents are not required from the Bank’s accountholder customers, whose legal files contain the relevant documents and proofs of the origin of the financial resources.
Unless the documents are disclosed in Armenian, English or Russian, the apostille or notarized translation into the particular languages is needed.

Your Financial Adviser

“Your Financial Adviser” is an electronic system for search and comparison and selection of the most efficient option of services offered to individuals: https://www.fininfo.am/avand

Notice on Guaranteed Deposit Terms and Conditions
Deposit Guarantee Fund of Armenia is the guarantor of your deposit. 

The currency structure of the deposit		Maximum amount of deposit guarantee
If you have only an AMD-denominated deposit in the same bank		16 million AMD
If you have only a foreign currency-denominated deposit in the same bank		7 million AMD
If you have both AMD-denominated and foreign currency-denominated deposit in the same bank	If the AMD-denominated deposit is more than 7 million AMD	16 million AMD (only AMD deposit is guaranteed)
	If the AMD-denominated deposit is less than 7 million AMD	7 million AMD ( ­AMD- denominated­ deposit is guaranteed in full, and the foreign currency-denominated deposit is guaranteed in the amount of difference between 7 million AMD and the difference between the amount of deposits subject to refund)

Location: 15 Khorenatsi, Yerevan (Elite Plaza business center)
Tel. +374 10 583514

Settlement of Disputes

Any dispute between the Customer and the Bank, unless settled through negotiations, is resolved in compliance with the RA laws both judicially and through the Financial System Mediator (for individuals).

Notice on Financial System Mediator

Please be advised that based on the RA Law on Financial System Mediator, the disputes relating to a property claim for up to AMD 10 M or equivalent FX amount arising with regard to the services rendered to you by Converse Bank CJSC can be settled through the Financial System Mediator.
Based on the agreement concluded between the Bank and the Financial System Mediator, the Bank abandons the right to dispute the resolutions of the Financial System Mediator only for property claims not surpassing  250,000 AMD (two hundred fifty thousand) or the equivalent FX, and the amount of the transaction not surpassing  500,000 AMD (five hundred thousand) or equivalent FX.

Location: 15 M. Khorenatsi, 0010 Yerevan
Floor 7, Elite Plaza business Center
Tel. (+ 37460) 70 11 11
Fax (+ 37410) 58 24 21
Email [email protected]

Contact the Bank

For additional information, please

• Visit the Bank’s website https://www.conversebank.am
• Visit the Customer Service Office at the Head Office or any branch of the Bank
• Call +374 10 511211
• WhatsApp: +374 95 511211
• Skype: conversebank-callcenter