Attention
- Interest calculations are made based on 365 calendar days. If the payment day is a non-working day, you will make the payment on the next working day.
- For mortgage loans, you have the right to partially or fully repay the loan early without any penalties from the Bank.
- If you violate the repayment schedule, the overdue part of the loan may be subject to the interest rate set by the Central Bank of Armenia, as specified in the loan agreement.
- You have the right to review the draft agreement before signing the loan agreement.
- When applying for a loan, you will receive an individual terms sheet that outlines the specific terms of the loan you will be offered.
- Loan interest rates are calculated based on the nominal interest rate, and the annual percentage rate (APR) shows how much the loan will cost you if you make payments on time and in the specified amounts. You can learn about the procedure for calculating the APR on the official website of the Central Bank of Armenia (www.cba.am).
- Changes in exchange rates for loans in foreign currency may affect loan repayments.
- The Bank will provide you with statements regarding the loan every 30 days in accordance with your preferred method of communication.
- If you have complaints during the term of the agreement, you can submit them to the Bank.
- Failure to fulfill loan obligations or improper fulfillment will affect your credit history.
- Your credit history is the entire collection of information regarding your financial obligations.
- If you fail to meet loan obligations, you may lose your rights to property.
Important Information About Credit History
Failure to meet loan obligations or improper fulfillment will affect your Credit History.
- What is a credit history?
According to the law of Armenia on "Circulation of Credit Information and the Activities of Credit Bureaus," credit information is the information regarding the obligations undertaken by the subject of credit information.
- What are the sources of credit history formation?
Sources of credit history formation include banks, credit organizations, insurance companies.
- What is a credit bureau?
A credit bureau collects, processes, stores, and provides information on the fulfillment of financial obligations.
- What is a credit report?
A credit report is a written or electronic document containing information on the fulfillment of financial obligations.
- How long is credit history kept?
According to Armenian law, credit information must be kept for no more than 5 years.
- How to improve credit history?
You must fully repay any previously incurred overdue obligations.
- Where to turn if the credit history is incorrect?
If there are errors or inaccuracies in the borrower's credit history, they can notify the credit bureau.
Criteria for Making Decisions on Loan Provision
Positive criteria for making a decision:
- Acceptable collateral and guarantees;
- Permanent residence;
- Stable source of income;
- Positive or neutral credit history;
- Reliable and complete documents;
Negative criteria for making a decision:
- Providing unreliable documents;
- Negative credit history;
- Riskiness of income source;
- Lack of documents for signing collateral or guarantee agreements;
