Payment list

 Pledge costs

Consideration time

At least 7 days prior to the conclusion of the loan agreement, the Bank will provide you by hand or by mail a loan agreement proposal and a draft loan agreement. The proposal to conclude a loan agreement is valid for 7 business days from the day following the date of its submission to the borrower.

Early repayment of the loan

The borrower has the right to repay the loan in whole or in part in advance, including through refinancing.
In case of early repayment of the loan amount or part of it, the Bank will reduce the total cost of lending, including the total interest payable under the loan agreement and service charges.
At the borrower's discretion, the Bank will reduce the amount of monthly payments in proportion to the amount repaid in advance, leaving the loan repayment period unchanged, or reduce the loan repayment period, leaving the amount of monthly payments unchanged.

Fines and penalties

In case of breach of the repayment terms stipulated in the contract, the Borrower shall pay a fine to the Bank at the rate of 0.13% for each day of default.
Repayments of overdue liabilities are repaid in the following order: fine/penalty, interest, service fee, principal amount.
No fines or penalties are envsiaged for early repayment of the loan.

Terms and Conditions:

1. OTI ≤ 50%
OTI - At the time of the loan disbursement, the ratio of the monthly repayments of principal and interest on all existing loans and accumulated interest rates o the net monthly income of the borrower, other members of the latter's household, and co-borrowers if any.
2. Income calculation may include incomes of other persons as well. In this case these persons are considered as co-borrowers.
3. The borrower who has acquired an apartment / residential house is obliged to ensure within a period of three months (in case of construction - after the end of designated construction commissioning period) the registration in the purchased apartment or residential house of the persons who along with the borrower have received state financial assistance.
4. Within one year from the moment of registration of ownership of the newly acquired residential area (in case of construction, after the expiration of the construction commissioning period) the Beneficiary and the co-beneficiaries who have received assistance shall be obliged to sell the residential area in possession prior to the receipt of state assistance, at a price no less than the liquidation price effective by that time, and to direct the entire amount received as a result of the transaction to repay the obligation.
5. At the time of applying for a loan, the sum of the borrower's age and loan term should not exceed 65.
6. Only to real estate located within the administrative boundaries of Stepanakert or Shushi is subject to mortgage
7. During the whole period of the loan, the designated use of the loan should be maintained.
8. In case of acquisition loan, the seller and the purchaser may not be members of the same family.
9. In case of renovation/construction loans renovation /construction works should be fully completed within one year after the last installment of the loan has been disbursed.
10. In case of a renovation loan, the apartment / private house owned by the borrower is repaired/renovated.
11. In the case of a construction loan, the purpose of the loan is subject to monitoring from the 6th month following the disbursement of the loan, with a periodicity of at least once per two months, until the final completion of the construction work. Within 12 months after the date of receipt of the loan the borrower should submit to the Bank the assessment act of the building under construction performed by one of the assessing organizations cooperating with the bank.
 

If the borrower fails to fulfill his/her obligations, the guarantor will pay on behalf of the borrower, the guarantor's credit history will deteriorate as well, and the guarantor may be deprived of his/her property.

Converse Bank:

• Will provide the guarantor with an example of loan and guarantee agreements and a repayment schedule,
• The communication will be carried out in the manner chosen by the guarantor,
• notify at least 7 days in advance of the change in the terms of the contract,
• Will send reminder of existing obligation 1 day in advance
• In case of delayed repayment of the loan, will notify the guarantor not later than within the following day.

The guarantor has the right to:

• At any time request the Bank for information on the size of the loan balance,
• get a refund of loan-related payments made, as well as of other losses incurred on behalf of the borrower.
   

Example of calculating interest rates

In case of loan with the following terms and conditions:

Interest composition

 Loan interest is calculated based on the nominal interest rate applied to the deductible balance, and the actual annual interest rate shows how much the loan will cost you when you make timely interest payments and all the related mandatory fees and payments related to loan disbursement.

Valuation of collateral

The pledged real estate is subject to appraisal by one of the evaluation companies cooperating with the Bank. The evaluation company is selected by the Customer. The evaluation report is usually valid within 2 (two) months from the date of the report. An additional re-evaluation may be required if necessary (eg price changes).

List of valuation companies

Communication with the Bank

You have the right to communicate with Converse Bank CJSC in any format at your discretion - by postal mail or by electronic communication methods. It is most convenient to receive information electronically, as it is available 24/7, free from the risk of loss of paper-based information and ensures confidentiality.

Provision of statements, references and other information (including VAT)

• Provision of statement with periodicity prescribed by RA legislation (once): 0,
• Provision of additional statement 1 Except for periodicity prescribed by RA legislation:

- dating back up to 3 years - AMD 1,000
- Dated back to 3 years and more (in case it is available in the bank ) - AMD 3,000

• Statement1 for submitting to different institutions

- In case of accounts opened within a month 2 AMD 5,000
- In case of accounts opened earlier - AMD 3,000

• Reference to be provided to the RA State Revenue Committee on paid amount of interest: AMD 1,000
• Reference based on the application submitted through the Bank's website - 3,000 AMD
• References / Letters

 On transactions made
- For transactions dated back up to one month - AMD 3,000
- For transactions dated back more than one month - AMD 5,000
 Notice of agreement on consecutive pledge/alienation of property pledged in the Bank - AMD 6,000 for each pledged property

• Transaction support documents and copies of other documents (for each document)

- Dated back up to 1 month - AMD 1,800
- Dated back up to 1 year - AMD 3,000
- Dated back more than one year - AMD 12,000

Tariffs for other services (including VAT)

• Mail delivery of statements or other documents

 In the Republic of Armenia and Artsakh - 0
 International
- Tariff set by the shipping service provider, if established by law and contract.
- In other cases, the fee set by the shipment service provider + AMD 1,500

• Delivery of references or other documents via Ordered mail shipping

- Within Armenia and Artsakh- AMD 3,000
- International - fee set by the shipment service provider + AMD 3,000

• Provision of Bank consent for registration of family members at the address of pledged real estate (regardless of number of registered persons) - AMD 3,000
• Granting consent for modification of documents on real estate property pledged with the Bank3: 0.5%, minimum AMD 12,000 , maximum AMD 60,000
• Partial release of pledged property based on the application of the pledgor or the borrower (except for the pledge of cash as well as unallocated metal accounts) - AMD 20,000 (per property)
• Loan terms revision4 - 0.5%, minimum AMD 12,000

¹ In case of simultaneous provision of a statement and reference to the same Customer and charge envisaged for the reference, the charge will be collected for reference only.
² In case of more than one active account, the opening date of account which has been opened earlier is taken into consideration irrespective of whether or not included in the statement.
³ The tariff shall be calculated on the basis of the estimated initial value of the collateral.
⁴ The tariff is calculated based on the amount of loan provided. The tariffs are set at the time of submission of the application by the customer for revision of the loan terms.

List of required documents

Factors for positive or negative decision on providing the loan

The Bank is inclined to provide the loan if:

• The applicant complies with the terms and limiting conditions of the loan.
• At the request of the bank, the applicant secures its credit liabilities with collateral.
• The applicant is recognized as creditworthy as a result of the assessment.
• The documents and references submitted by the applicant are reliable and include all necessary information;
• The applicant's credit history is either positive or missing.

Failure to comply with any of the above conditions, as well as other requirements of the Bank's internal regulations, may result in refusal to provide the loan.

Time periods for notifying the customer of the decision to provide the loan and for the loan disbursement.

The decision takes up to 7 banking days, the Customer is informed within one day, the loan is disbursed within 7 banking days.

Venue for loan formalities and method of disbursement

The loan is provided only in the "Stepanakert" branch of the Bank.
The loan amount can be transferred directly to the seller / developer account or provided to the borrower by way of depositing into the account. If it is provided to the borrower, the borrower must submit proof that the loan amount has been fully transferred to the seller / developer (not required in the event of development or repair by own resources).

Your financial directory

"Your financial directory" at www.fininfo.am , is an electronic system combining services offered to individuals that makes it easy to search, compare and find the most effective option for you. https://www.fininfo.am/compare-mortgage-loan

Procedure for resolving disputes

Any disputes and disagreements between the Customer and the Bank shall be resolved first by mutual negotiation, and should the agreement not be reached by such methods, the disputes and disagreements shall be resolved in accordance with the procedure prescribed by the RA legislation both per court procedure, and through financial system obmudsman.

Notice on Financial System Mediator

Please be informed that according to the RA Law on Financial System Mediator, in case of property claims arising out of services rendered to you by Converse Bank CJSC, disputes and disagreements for not exceeding million AMD or equivalent foreign currency may be resolved through the Financial System Mediator.
According to an agreement between the Bank and the Office of the Financial System Mediator, the Bank waives the right to challenge the Financial System Mediator's decisions only in relation to property claims not exceeding 250,000 (two hundred and fifty thousand) AMD or equivalent currency, and on transaction amounts not exceeding 500,000 (five hundred thousand) AMD or equivalent foreign currency.

Address: 0010 Yerevan, Khorenatsi str. 15,
"Elite Plaza" business center, 7th floor 
Email: [email protected]
Telephone: (+37460) 70-11-11
Fax: (+37410) 58-24-21:

Contact with the Bank

For more details and more information you can:

• visit the Bank's website at https://www.conversebank.am
• visit the Bank's Customer Service at the Head Office or any branch
• Call: 374 10 511211
• Viber: 374 95 511211
• Skype: conversebank-callcenter