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Details of our special offer for purchasing properties at Hambardzumyan complex

Residential property purchase loan

Loan terms1 24 - 240 months
Loan amount AMD 5-200 million or  USD 10- 400 thousand
Loan currency
AMD and USD.

Loans in USD can be provided only in case the customer meets all applicable requirements against lending in foreign currency.

Explore details.
Interest rate2

Floating - annual nominal interest rate 

IMPORTANT: THE NOMINAL INTEREST RATE MAY BE CHANGED BY THE BANK IN CASE OF BANK RETAIL BASE RATE CHANGE.



For AMD loans, this is calculated at the Bank’s AMD retail base rate plus constant margin  and is currently equal to:

9% + 2% = 11%

 

            

Where:

 

            

                        

9% - Bank’s AMD Retail Base Rate

2% - Constant margin

 

            

                        

Annual percentage rate is starting from 11.85% maximum up to 14.04%:

            

 

            

FOR THE CALCULATION OF APR IN USD, THE FOREIGN EXCHANGE RATE PUBLISHED ON THE CENTRAL BANK OFFICIAL WEBSITE IS ACCURATE TO THE MOMENT OF PUBLICATION OF THIS PAGE. THE APR MAY VARY AS A RESULT OF THE ABOVE-MENTIONED RATE CHANGE.



For USD loans, this is calculated at the Bank’s USD retail base rate plus constant margin and is currently equal to:

3.9% + 4.1% = 8%

Where:

 

            

3.9% - Bank’s USD Retail Base Rate
4.1% - Constant margin

       

            

                 

Annual percentage rate is starting from 8.59% maximum up to 10. 70%.



Loan interest amount is calculated based on the annual nominal interest rate, whereas the annual percentage rate or APR indicates how much the loan would cost to the borrower in case of repayment of interest amount and other payments under the defined timeline and terms.

 

            

Loan interest is calculated in the loan currency on a daily basis for 365 days and for 366 days in case of leap year on the loan outstanding balance.

Loan to Value Ratio
Loan amount cannot exceed 90% of the purchased property value.

Minimum prepayment amount  in case of lending in AMD is 10%3,  and in the case of USD loans is 30%4.
Loan account service fee (one off)
0.5% of the loan amount, up to a maximum of AMD 200,000.

The account service fee will be charged from the customer's account on loan provision day.

Residential property purchase loan

Loan terms1 Loan amount
24 - 240 months AMD 5-200 million or  USD 10- 400 thousand
Loan terms1 Loan currency
24 - 240 months AMD and USD.

Loans in USD can be provided only in case the customer meets all applicable requirements against lending in foreign currency.

Explore details.
Loan terms1 Interest rate2
24 - 240 months

Floating - annual nominal interest rate 

IMPORTANT: THE NOMINAL INTEREST RATE MAY BE CHANGED BY THE BANK IN CASE OF BANK RETAIL BASE RATE CHANGE.



For AMD loans, this is calculated at the Bank’s AMD retail base rate plus constant margin  and is currently equal to:

9% + 2% = 11%

 

            

Where:

 

            

                        

9% - Bank’s AMD Retail Base Rate

2% - Constant margin

 

            

                        

Annual percentage rate is starting from 11.85% maximum up to 14.04%:

            

 

            

FOR THE CALCULATION OF APR IN USD, THE FOREIGN EXCHANGE RATE PUBLISHED ON THE CENTRAL BANK OFFICIAL WEBSITE IS ACCURATE TO THE MOMENT OF PUBLICATION OF THIS PAGE. THE APR MAY VARY AS A RESULT OF THE ABOVE-MENTIONED RATE CHANGE.



For USD loans, this is calculated at the Bank’s USD retail base rate plus constant margin and is currently equal to:

3.9% + 4.1% = 8%

Where:

 

            

3.9% - Bank’s USD Retail Base Rate
4.1% - Constant margin

       

            

                 

Annual percentage rate is starting from 8.59% maximum up to 10. 70%.



Loan interest amount is calculated based on the annual nominal interest rate, whereas the annual percentage rate or APR indicates how much the loan would cost to the borrower in case of repayment of interest amount and other payments under the defined timeline and terms.

 

            

Loan interest is calculated in the loan currency on a daily basis for 365 days and for 366 days in case of leap year on the loan outstanding balance.

Loan terms1 Loan to Value Ratio
24 - 240 months Loan amount cannot exceed 90% of the purchased property value.

Minimum prepayment amount  in case of lending in AMD is 10%3,  and in the case of USD loans is 30%4.
Loan terms1 Loan account service fee (one off)
24 - 240 months 0.5% of the loan amount, up to a maximum of AMD 200,000.

The account service fee will be charged from the customer's account on loan provision day.

Please read the Loan Terms and Conditions before applying.

Loan repayment

The following repayment options are available for the borrowers:

Principal is repaid in equal monthly instalments, while interest amount decreases with the repayment of a principal. Therefore, monthly repayments will decrease over the loan tenor.

Repayments are calculated on annuity basis, where both principal and interest monthly repayment amounts change over the loan tenor, while the total monthly repayment amount remains constant.

Your property may be repossessed in case you do not properly meet your loan obligations.

Fluctuation of foreign currency exchange rate may impact the loan repayment amount (for USD Loans). Interest for the loans with foreign currency can be paid either with the currency of the loan or in Armenian Drams as per customer’s preference and based on the provided respective instruction.

If the borrower does not pay the interest and loan principal amounts in time, information about credit history will be submitted to the Central Bank of Armenia and ACRA Credit Reporting CJSC after three business days of credit facility overdue, resulting in negative impact on borrower’s credit history, should the borrower decide to apply for another loan in the future. In case of existence, the reporting is applicable for guarantors and co-borrowers as well.

In case loan monthly repayments are not processed in line with the loan schedule and loan agreement and in case you do not properly meet your loan obligations, your property may be repossessed and you may be deprived of your rights over it.

Interest amount calculation

Interest amount will be calculated on a daily basis by using the following formula:

I = R*L/365 (or 366 in case of leap year), where

I = one day interest amount

R = current interest rate

L = outstanding amount of loan

Representative example of interest amount calculation

House purchase loan in AMD with reducing repayment type was provided to the customer.

  • Loan amount - AMD 50,000,000
  • Loan term - 240 months
  • Annual interest rate - 11%
  • Annual percentage rate -11,99%
  • Days in a year - 365/366
  • Loan provision date - 11/05/2020
  • First repayment date - 11/06/2020
  • Loan full repayment date - 11/05/2040
  • Monthly repayments

Repayment for the first month - AMD 675,456.62 (out of which - interest amount AMD 467,123.29)

Repayment for the second month - AMD 658,504.57 (out of which - interest amount AMD 450,171.23)

Repayment for the last month - AMD 210,216.89 (out of which - interest amount AMD 1,883.56)

Interest amount for the whole period of loan is AMD 55,275,690.64 .

Customer's minimum age must be 18. Customer's age plus the loan term should not exceed 65 years. The borrower must be a citizen/resident of the Republic of Armenia. Within the framework of this offer, people with a minimum 1 year of residence in Armenia proven by respective documents are considered as Armenian residents.

2 Depending on risk assessment results, loan application may be approved at a higher interest rate.

3 Debt to Income Ratio for AMD loans is 60-70% depending on income.

4 Debt to Income Ratio for USD loans is 60%.

Last updated on: 22.07.20, 10:28