INSTALLMENT LOAN: HERE & NOW

Purchased products – solar water heaters, household goods, computer equipment, furniture, construction materials, doors, windows, etc.
Provided services – sports, tourism, dental, other medical services, car maintenance, etc.
Nominal annual interest rate – 21.6%
Effective annual interest rate – 23.88–24%
Loan repayments – equal monthly installments
Collateral – the purchased product
Duration:
Minimum term – 3 months
Maximum term – 60 months
Loan commission fee – none
Interest calculation – daily, based on the declining loan balance

Learn more:
About the possible amount of additional fees – Loan Tariffs
Previous loan tariff terms

The following documents are required:

• Applicant’s identification document
• Refernce from the workplace* and/or other documents confirming income (if required).
• The validity of the documents at the time of submission must not exceed 15 days.
• Depending on various circumstances, additional documents and information may be required.

_{*The reference must contain the client's net monthly salary/income after paying taxes, the address of the place of work, phone numbers, the signature and seal of the head of the organization issuing the reference, an outgoing reference number, and the month and date of issuance.}

A decision on the loan application and notification of the customer are made on the same day after the required documents are submitted

NO PENALTIES ARE CHARGED IN CASE OF EARLY LOAN REPAYMENT.

Example of loan interest calculation:

• Loan amount – AMD 300,000
• Loan interest rate – 21.6%
• Loan term – 24 months
• Loan commission fee – none
• Effective annual interest rate – 23.91%

In this example, the monthly loan payment amount* will be AMD 15,504

*the repayment amount may vary depending on the number of days in the given month.

NOTE: LOAN INTEREST IS CALCULATED BASED ON THE NOMINAL INTEREST RATE, WHILE THE ANNUAL EFFECTIVE INTEREST RATE SHOWS HOW MUCH THE LOAN WILL ACTUALLY COST YOU, PROVIDED THAT ALL INTEREST PAYMENTS AND ALL MANDATORY PAYMENTS RELATED TO LOAN DISBURSEMENT AND SERVICING ARE MADE WITHIN THE SPECIFIED TIMEFRAMES AND AMOUNTS. YOU CAN FIND THE CALCULATION OF THE EFFECTIVE INTEREST RATE HERE.

Learn more։ 

Installment loan calculator

In case the borrower fails to fulfill their obligations on time, a penalty of 0.13% is charged for each overdue day (applicable penalties)

Loan repayments are made in the following order (when settling overdue obligations):

• Penalty/fine
• Interest
• Principal amount

• The loan amount is provided non-cash․ The loan amount is transferred to the account of the organization selling the product or providing the service.
• Factors for a positive loan approval decision include the assessment of the customer’s creditworthiness.
• Factors for loan rejection include insufficient financial indicators identified through analysis, the customer’s poor credit history, insufficient or absence of required collateral, the professional opinion of the Bank’s specialist,
• The loan is issued at the place of operation of the cooperating organization,
• During the term of the agreement, statements are provided via email every thirty days, unless the customer chooses another method of communication.
• During the term of the agreement, the loan account statement and other information that are subject to mandatory disclosure under the legislation of the RA are provided free of charge. Statements not subject to mandatory disclosure under the legislation of the RA, as well as duplicate statements, are provided as follows:

• For statements with a period of up to 6 months (inclusive) – free of charge
• For statements with a period of 6 to 12 months (inclusive) – AMD 2,000 (including VAT)
• For statements with a period of more than 1 year – AMD 3,000 (including VAT).

YOU HAVE THE RIGHT TO COMMUNICATE WITH THE FINANCIAL INSTITUTION IN YOUR PREFERRED WAY, EITHER BY POSTAL MAIL OR THROUGH DIGITAL CHANNELS. RECEIVING INFORMATION DIGITALLY IS THE MOST CONVENIENT OPTION. IT IS AVAILABLE 24/7, ELIMINATES THE RISK OF LOSS OF PAPER DOCUMENTS, AND ENSURES CONFIDENTIALITY.

The Bank may unilaterally change the interest rate specified in the agreement by notifying the Borrower at least 7 calendar days in advance in the event of misuse of the loan, as well as failure to fulfill the obligations set out in the loan agreement.

NOTE: WHEN APPLYING FOR A LOAN, THE LENDER WILL PROVIDE YOU AND THE GUARANTOR(S) (if any) WITH AN INDIVIDUAL INFORMATION SHEET ON THE ESSENTIAL TERMS OF THE CONSUMER LOAN.

Information provided to the Credit register:

NOTE: IN CASE OF YOUR FAILURE OR IMPROPER PERFORMANCE OF YOUR OBLIGATIONS, THE LENDER WILL, AFTER 3 BUSINESS DAYS, SUBMIT SUCH INFORMATION TO THE CREDIT BUREAU, WHERE YOUR CREDIT HISTORY IS FORMED. YOU HAVE THE RIGHT TO OBTAIN YOUR CREDIT HISTORY FROM THE CREDIT BUREAU FREE OF CHARGE ONCE A YEAR.

NOTE: A POOR CREDIT HISTORY MAY HINDER YOUR ABILITY TO OBTAIN A LOAN IN THE FUTURE.

You can learn more about the importance of credit history and the use of credit scoring here.

Your financial informant

www.fininfo.am

NOTE: "YOUR FINANCIAL INFORMANT" IS AN ELECTRONIC SYSTEM THAT MAKES IT EASY TO SEARCH FOR, COMPARE, AND CHOOSE THE MOST EFFECTIVE OPTION FOR INDIVIDUALS.