Individual loans of general purpose /with pledge of real estate/
|Loan currency and amount||Minimum loan amount - AMD 100,000 mln., maximum amount AMD 30 mln.|
|Maturity||Maximum 60 months|
|Loan disbursement fee||
Is charged before disbursement of the loan:
In case of a loan for amount up to AMD 5,000,000 – one off fee of AMD 20,000,
|Fee for review of the loan application||AMD 5,000, is charged once, at the time of recording the loan application|
- The maximum amount of monthly repayments of the principal amount of the loan and the accrued interest cannot exceed 60% of the monthly net income /PTI/ earned by the Borrower and other members running common household with the borrower and the co-borrowers, if any; /the restriction applies to those loans, for which revenues will be considered/,
- In case of loans for an amount of AMD 25 mln. and more, the maximum amount of monthly repayments of the principal amount of all loans outstanding at the time of disbursement and the accrued interest cannot exceed 70% of the total monthly net income /OTI/ earned by the borrower and other members running common household with the borrower and the co-borrower, if any;
- At the time of applying for the loan, the sum of the Borrower's age and the loan maturity cannot exceed 60, and the Borrower’s age at the time of loan disbursement shall be 23-55;
- Availability of 1 guarantor/co-borrower;
- The client shall have experience of servicing at least two loans, of which the amount of one loan shall not be less than AMD 1 mln. or its equivalent in other currency; /the restriction applies to those loans, for which revenues will be considered/,
- During the last one year, the client shall not have classified credit liability/ies/ and 20 and more overdue days for all loans;
- During the last one year, the members running common household with the Borrower shall not have liabilities classified as non-standard, doubtful, and loss.
Procedure of repayment of the loan and interest amount
Is repaid monthly, in one of the following manners:
- Annuity (equal monthly instalments), which includes the principal amount and accrued interests with alternating portions;
- Spring-like (variable monthly instalments), which includes the principal amount in equal portions, and the accrued interest – in variable portions.
Insuring the borrower and co-borrower, if available, from accidents is mandatory, if the loan amount exceed AMD 10,000,000 with real estate located in Yerevan, and AMD 8,000,000 with real estate located outside Yerevan.
Insurance from accidents is made annually, on the basis of the loan balance as of that time.
In case of violation of the repayment terms envisaged by the agreement, the Borrower shall pay penalty to the Bank, for each day of delay:
- 0.15% of the overdue loan amount;
- 0.4% of the overdue interest amount;
- on the 5th working day of delay in repayment of the loan and/or interest amount a one-off penalty is charged in the amount of AMD 15,000.
Real estate. The loan/collateral ratio is 60% of the evaluated liquid value of the property assessed by an independent appraiser, if the property is located in Yerevan; if the property is located outside Yerevan, not more than 50% or the evaluated liquid value of the property assessed by an independent appraiser.
List of required documents to be submitted to the Bank*
1. Loan application-questionnaire;
2. Personal identification document, public services number, or a reference on absence of a public services number issued by the body running the state register of the population (isn’t required, if the client submits an identification card, where the public services number is specified);
3. Reference on the place of residence, specifying the family members living together;
4. Reference from the place of employment /a document containing the requisites specified by this annex, the issue date of which as of the day of submission to the Bank shall not exceed 20 calendar days/. The Borrower can also be required to present a copy of his/her available annual individual statement presented by the employer for the Borrower;
4.1. In case of conducting other not entrepreneurial activity /e.g. investments, giving property for rent, investments in deposits, etc./ reference on income received from those activities should be submitted;
4.2. In case of clients conducting entrepreneurial activity:
• a reference on income received from the activity – for legal entities;
• financial analysis for private entrepreneurs and private individuals.
4.2.1. If required, if the borrower is a PE implementing a certain type of activity that requires licensing or permission for activity – the relevant license and/or permission shall be submitted;
5. Original of the ownership right certificate for the pledged property and the basis of acquisition /purchase and sale agreement, inheritance certificate, etc./, which shall be submitted before disbursement of the respective loan; in exceptional cases, it might be required before approval of the loan application;
6. Collateral evaluation certificate/act;
7. Marriage certificate (if any);
8. If the Borrower is a private entrepreneur – a reference from the SRC regarding the obligations of the latter towards the state;
9. Other necessary documents.
* No reference on income and/or reference from the place of employment (clauses 4., 4.1., 4.2 of the list of required documents to be submitted to the Bank) is required for loans with an amount up to AMD 10,000,000 secured with real estate located in Yerevan and for loans with an amount up to AMD 8,000,000 with real estate located outside Yerevan, therefore, no income indices are calculated.
Other mandatory conditions
- The loan is disbursed after signing of the agreement on pledge of the real estate, its notary verification and registration in the authorized state body, as well as after insurance of the pledged property in favor of the Bank as the beneficiary, if the authorized approving body has made a decision regarding mandatory insurance of the property.
- The costs related to appraisal of the collateral, notary verification of the pledge agreement and its registration in the authorized state body shall be paid by the Borrower.
- After enforcement of the decision taken by the bank’s authorized body with regard to disbursement of the loan, the bank notifies the Borrower about the decision within one day. After enforcement of the decision, the maximum term for collection of the remaining documents and disbursement of the loan is 45 calendar days. If the loan isn’t disbursed within the specified term, then the decision on the loan is invalidated and the loan is submitted for a second discussion in accordance with the established procedure, charging once again the fee set for review of the loan application.
If the Loan isn’t consumer lending, then, in case if the Loan is fully repaid within the first 3 calendar years of the Loan validity period, at the Bank’s discretion the Borrower shall pay early repayment penalty to the Bank equal to 3% (three percent) of the initial Loan amount, unless another size of penalty for early repayment of the Loan is agreed between the Parties.
The loan is disbursed at the head office and the branches.
For all those loans, which comply with the requirements of the RA Law “On Consumer Lending”, after making a positive decision on the loan application and before signing the loan agreement, the Bank shall provide you with an Individual sheet, based on the loan conditions and the documents submitted by you.