HSBC Personal Instalment Loan
(form in Armenian)
With the HSBC Personal Instalment Loan, you will get:
- No pledge requirementReceive a personal loan hassle free and with no pledge requirement.
- AffordableNo annual service fee applies. You only pay once when receiving the loan.
- FlexibleChoose the payment date and repayment options to best suit your needs.
Loan interest rate (fixed)4
- Nominal interest rate 16% (15% for HSBC Plus and HSBC Status customers).
- Annual percentage rate - 17.59% - 22.25% (16.18% - 18.50% for HSBC Plus and HSBC Status customers).
- The maximum annual percentage rate cannot exceed double of the CBA benchmark rate.
Loan interest is calculated on a daily basis for 365 days and for 366 days in case of leap year on the loan outstanding balance.
LOAN INTEREST AMOUNT IS BEING CALCULATED BASED ON THE ANNUAL NOMINAL INTEREST RATE, WHEREAS THE ANNUAL PERCENTAGE RATE OR APR INDICATES HOW MUCH WOULD LOAN COST TO BORROWER IN CASE OF REPAYMENT OF INTEREST AMOUNT AND OTHER PAYMENTS UNDER THE DEFINED TIMELINE AND TERMS.
- Up to 6 times of net monthly income if customer's minimum net monthly documented income is below AMD 300,000
- Up to 8 times of net monthly income if customer's minimum net monthly documented income is AMD 300,000 and above
Non-salaried account holders
- Bank account holders - up to 6 times of the lower of last 6 months average monthly balance, average monthly balance of the last month and net monthly income
- Other banks' account holders - up to 4 times of the lower of last 6 months average monthly balance, average monthly balance of the last month and net monthly income
- Loan amount may vary from AMD 150,000 up to AMD 3,000,000 (loan maximum amount for HSBC Plus and HSBC Status customers is AMD 10,000,000)
- The loan amount will be decreased by the existing unsecured credit facility outstanding amount
- The ratio of overall monthly loan payments to net monthly income cannot exceed 60% if net monthly income is less than AMD 700,000 and 70%, if net monthly income is greater than or equal to AMD 700,000
- The ratio of overall monthly loan payments to net monthly income cannot exceed 50% if loan provided with tenor above 36 months, or if loan amount is above AMD 3mln
- Up to 6 times of net monthly income multipliers will apply if loan amount is above AMD 5,000,000. In such cases the proportion of salary in monthly net income should constitute at least 70%
From 12 up to 36/603 months.
Loan is provided in AMD.
Default interest rate and penalty
- In case of overdue/default on loan principal and/or interest the Bank will apply penalty interest rate - 5% p.a. plus the loan nominal interest rate per annum, on the overdue amount.
Early repayment scheme
No early repayment fee is applicable.
You can make loan early repayments by decreasing the outstanding loan amount as follows:
- By equally reducing the amount of monthly payments and leaving the loan term fixed, or
- By reducing the loan term by leaving monthly payments fixed.
IN CASE OF EARLY REPAYMENT, THE TOTAL COST OF THE LOAN, INCLUDING LOAN PROVISION FEE, WILL BE PROPORTIONALLY DECREASED BY THE BANK.
Loan provision fee
The bank will provide customers with statements for their loan accounts in the manner and terms stipulated by the RA legislation. The statements can be delivered to the customer's postal address, sent via email or collected from any branch of the bank. You can familiarise yourself with the conditions, terms and fees for provision of statements, copies of statements or other information by referring to Tariff of Charges and Terms and Conditions.
BEFORE SIGNING THE LOAN AGREEMENT, INDIVIDUAL BULLETIN TO BE PROVIDED AS PER CENTRAL BANK OF ARMENIA REGULATION 8/05 "ON BUSINESS CONDUCT RULES OF FINANCIAL ORGANIZATIONS".
Before signing the loan agreement, you have the opportunity to get acquainted with the essential terms of the loan and, if desired, compare it with the essential terms of the loan offered by other creditors.
The Individual Bulletin defines the essential terms and tariffs of the given credit, consumer rights and obligations applicable to all customers and the negative consequences in case of non-fulfillment in time.
The Individual Bulletin includes, but is not limited to:
- type of credit
- credit amount
- credit provision term
- credit annual nominal interest rate
- credit annual percentage interest rate
- credit related payments
- if the fulfillment of the consumer's obligations is secured by a pledge and (or) guarantee, security section should cover:
- type of pledge
- note on the guarantor
- and other conditions
We would also like to inform you that there may be differences between the Individual Bulletin and mortgage lending agreements due to changes in the repayment schedule and (or) the exchange rate.
The terms of the Individual Bulletin are valid for 10 working days after informing you, as a consumer, about the positive decision of the credit application. In case the consumer (guarantor) wants to sign the Individual Bulletin immediately, the Bank gives sufficient time to the consumer (guarantor) to read the Individual Bulletin in detail. If the consumer submits the signed Individual Bulletin to the Bank later than the established term, the Bank decides whether to sign the lending or mortgage lending agreement under those conditions in accordance with its internal legal acts or no.
ATTENTION: IF YOU DON'T MAKE YOUR LOAN MONTHLY REPAYMENTS IN LINE WITH THE LOAN SCHEDULE, INFORMATION ABOUT CREDIT HISTORY WILL BE SUBMITTED TO CENTRAL BANK OF ARMENIA AND ACRA CREDIT REPORTING CJSC IN THREE WORKING DAYS, RESULTING IN NEGATIVE IMPACT ON YOUR CREDIT HISTORY, SHOULD YOU DECIDE TO APPLY FOR ANOTHER LOAN IN THE FUTURE. YOU HAVE A RIGHT TO OBTAIN YOUR CREDIT HISTORY FROM CREDIT BUREAU FREE OF CHARGE ONCE A YEAR.
1 Loan amount will be approved based on HSBC Bank Armenia credit risk assessment criteria.
2 Customers minimum age is 18. Customer's age plus the loan term should not exceed 65 years.
3 Loans with tenor of 37-60 months are applicable to HSBC Bank Armenia salaried customers only.
You're eligible to apply for a personal instalment loan if you're RA Resident1 and meet the minimum criteria for salaried and non-salaried account holders.
Salaried account holders criteria
You must have:
- an account with us
- at least 3 months employment with a current employer
- a net monthly salary of at least AMD 50,0002.
Your salary should be transferred to your account after loan drawdown (in case if prior salary transfer is not required by us)3.
If you don't have account with us, you must:
- have an account with any other bank
- at least 3 months employment history
- a salary transferred to your account for 3 months
- a net monthly salary of at least AMD 150,000
Non- salaried account holders criteria
You must have a satisfactory banking relationship with us or other local banks for a period of 3 months and more, and the last 3 months average monthly balance and average balance of the last month have been at least:
- AMD 100,000 (or equivalent in foreign currency) if your account is with us
- AMD 250,000 (or equivalent in foreign currency) if your account is with another bank
1Persons with minimum 1 year of residence in Armenia proven by respective documents are considered as Armenian residents.
2Customer's overall monthly income should not be less than AMD 100,000.
3The requirements on salary transfer to your account with the bank will be communicated to you during the loan approving process.