Individual loans provided to individuals by products / Terms and Tariffs /

1.   

Eligibility

RA residents aged 18 – 65 who during the lease period will not turn 65 or the lease will be shared by a co-lessee who meets these requirements.

2.   

Currency

Armenian drams

3.   

Lease contract amount

4,000,000 - 50,000,000

4.   

Repayment period

24 - 60 months

5.   

Type of annual interest rate

Fixed rate

6.   

Repayment schedule

·         Annuity payments (the total of the principal and interest amounts will be payable each month in equal amounts)

·         Springy scheme (even principal repayments) on a monthly basis

7.   

Markets for vehicles on lease

The leased asset may be acquired in primary markets of both Armenia and abroad.

8.  

Annual interest rates

Nominal

Actual

14% - 18%

15.31%-22.41%

9.  

Penalty for early repayment

Not applicable

10.  

Penalty for late payment of the principal and interest

·         For past due principal amount - 0.015% per day,

·         For past due interest - 0.1% per day.

11.  

Leasing security

Surety bonds of individuals and/or legal entities (if appropriate), in individual cases  - other security acceptable to the Bank

12.  

Leased asset

The Bank will not accept vehicles transporting dangerous goods: toxic substances, chemical, radioactive and explosive materials.

13.  

Appraisal of the leased asset

No appraisal is needed. The value of the leased asset will be based on the value indicated in the invoice of the selling company.

14. 

Down payment

With income analysis

Without income analysis

minimum  10%

minimum  30%

15.  

Disbursement method

Non-cash

16. 

Fees and charges

·         A lump-sum fee at 0.6% of the contractual amount

·         State duties for registration of the lease by a competent state agency.

17. 

Insurance

·         Fully comprehensive (KASCO) insurance -  each year throughout the lease term, to cover at least the outstanding principal amount. If the insurance is bought at the expense of the Bank, the KASCO insurance will cover  the outstanding principal amount along with indication of the  specific purpose of vehicle utilization.

·         If the KASCO insurance is bought  by the lessee, the annual nominal interest rate will be reduced by 1 p.p., but it cannot be less than 14%.

18.  

Timeline for making decision on lease application

·         For applications under AMD 10,000,000 – within 3 business days,

·         For applications exceeding AMD 10,000,000 -within 7 business days.