Restrictions

• The maximum amount of monthly repayments of the principal amount of the loan and the accrued interest cannot exceed 70% of the Borrower’s and guarantor’s net monthly income;
• There should be no classification as non-standard, doubtful, and loss in the credit history of the Borrower and the guarantor during the last 12 months as of the time of applying for the loan.

Procedure of repayment

Is done with the "Annuity" method

Procedure of disbursement

The loan is transferred directly to the account of the educational institution for one half year or one year of study, according to the payment order submitted by the customer.

Penalty

Upon default of payment of principal and/or interests, the Borrower pays the Bank a penalty at 0.13% of the overdue principal and interest for each day of delay.

No penalties are defined for early repayment of the loan.

List of required documents

• Loan application;
• Originals of the borrower’s and guarantors’/pledgers’ personal identification document and public services number, or a reference on absence of a public services number issued by the body running the state register of the population (isn’t required, if the customer submits an identification card);
• A reference from the guarantors’ employer, which shall be dated not more than 20 calendar days before the date of submission and a copy of the employment record book;
• If clients are engaged in other, non-entrepreneurial activity /e.g. investment, lease of property, investment in deposits, etc./ a reference for the income earned from such activity should be submitted;
• For clients engaged in entrepreneurial activity:

- a reference on the income obtained from the business /Annex 9/ - for legal entities;
- financial analysis - for private entrepreneurs and private individuals; for private entrepreneurs - also a reference from the SRC regarding the latter's liabilities towards the state.
If required, in case when the borrower is a PE and conducts certain activity for which licensing or permission for the activity is required - the respective license and/or permission, if it is a factor significantly affecting the Borrower's income.

• A reference from the student’s educational institution, where the student’s name and surname, department and year at the institute, the annual/semi-annual tuition fee, and the banking requisites of the educational institution should be specified.
• A document provided by the educational institution, specified by the legislation of the RA as required for payment of the student’s tuition fee (invoice, transfer account, etc.), if such information isn’t provided in the reference.