For Individual Clients

Consumer loan for purchase of vehicle on primary market, without visiting the Bank


The loan purpose is purchase of a new vehicle on primary market (car dealers), without visiting the Bank.

 

List of Car Dealers cooperating with Ameriabank CJSC

 

 

 

 

 

 

Consumer loan for purchase of vehicle on primary market, without visiting the Bank

Purpose

Purchase of a new vehicle on primary market (car dealers), without visiting the Bank

Eligible age of client
 (co-borrower/guarantor)

18-65, provided that the age of the borrower by the time of expiry of loan agreement will not have exceeded 65

Residency

Citizens and non-citizens of Armenia who are resident in Armenia

Currency

AMD

Minimum and maximum loan limit

AMD 3 million - AMD 15 million

Term (months)

84 months

Nominal annual interest rate, insurance included

Adjustable
 (rate can be changed starting from the 37th month)

Fixed component 8.4%
 + variable component (base rate)

 

Effective annual interest rate, insurance included

15.96% - 16% 

Loan disbursement lump-sum fee

N/A

Minimum down payment 

 At least 10% of price of vehicle

Repayment

Annuity (equal monthly installments consisting of a portion of loan and a portion of interest)

Eligible security

The loan is secured by the vehicle being purchased 

Loan-to-value (LTV) ratio 

90% of the purchase price of vehicle 

Details of vehicle to be pledged

Car bought from car dealer (not registered)

Appraisal of pledge

N/A, if the car is bought from car dealer.
 Estimated pledge value is based on the price specified by car dealer in the Bank’s electronic system/the purchase price.

Insurance of the Collateral

 Insurance for pledged vehicle to be obtained by the Bank throughout loan term to the extent of outstanding loan

Loan formalization venue

Car dealer

Required documents

Required documents filed together with loan application

ID, PSN 

Documents required after loan approval

 Marriage certificate (if any) and ID of the spouse, PSN 

Right of pledge certificate for the vehicle (provided to the Bank by the Traffic Police of Armenia)

Other documents, upon request

Early repayment 

No early repayment fee

Late payment fines and penalties

The interest rate specified in the loan agreement shall continue to be applied to overdue loans.
 Fine in the amount of 0.13 % of overdue loan and interest for each day beyond terms.

Other fees payable by client

Fees for registration of the rights arising in connection with the agreements (vehicle purchase and pledge) with the relevant state agency

Cooperation between car dealer and the Bank 

Other terms can be defined under cooperation agreements with car dealers, such as interest rate, minimum advance payment, LTV, etc.

1. *Availability of a cooperation agreement between the Bank and the car dealer is a required condition. 

2. Base rate (variable component)

3. Attention! The adjustable nominal interest rate may be revised no more than twice a year.

4. Attention! Once your loan is approved, we will provide you an individual leaflet detailing all essential terms of your consumer loan. 


 

Appraisal of pledge

 

N/A, if the car is bought from car dealer.

Estimated pledge value is based on the price specified in the reference provided by car dealer to the client.

 

 

 

Insurance of the Collateral

 

Insurance for the collateral to be obtained on an annual basis throughout the loan term: if by the Bank - to the extent of outstanding loan, if by the client- at least to the extent of outstanding loan.

 
 
 
 In addition, the client will pay for the following services:
 
  • Fee of the Police of the Republic of Armenia (for lien and pledge of movable property): AMD 5,000 lump sum.
 
 
Required documents
 

Required documents filed together with loan application:

  • ID (original), PSN
Documents required after loan approval: 
  •  
  • Marriage certificate (if any) and ID of the spouse, PSN   
  • Right of pledge certificate for the vehicle (provided to the Bank by the Traffic Police of Armenia)
  • Other documents as the Bank's specialist may request
 
 
Loan service fees
 
Loan service fees, including fees for modification of the loan terms and substitution of the collateral, are presented at the link below.
 
 

 

 

 

 

Statements

 

We will provide you the statements of your credit accounts through communication channels and at frequency agreed between you and us and/or in accordance with the Armenian laws and regulations. The statements are provided by post, email, Internet-Bank or in person at any branch of the Bank. 

 

Provision of statements, information and copies of documents 

Service

Provision of account statements, copies of account statements or other documents kept in electronic form, backdated up to 1 year

Free

Provision of account statements or copies of account statements backdated more than 1 year or other documents kept in electronic form7

AMD 5,000 per annual statement per account, VAT included

Provision of copies of documents kept in paper or backdated more than 1 year and kept in electronic form

AMD 5,000 per document, VAT included

Provision of references

 

To holders of 3+ months old accounts6

AMD 3,000, VAT included

To holders of less than 3 months old accounts

AMD 5,000, VAT included6

 

Attention!

THE LOAN INTEREST RATE MAY NOT EXCEED THE DOUBLE OF THE BANK RATE DECLARED BY THE CENTRAL BANK OF ARMENIA.

 

Attention!

THE PLEDGED PROPERTY MAY BE FORECLOSED IF THE BORROWER FAILS TO REPAY LOAN AMOUNT AND INTEREST IN TIME. IF THE VALUE OF THE COLLATERAL IS INSUFFICIENT, OTHER PROPERTY OF THE BORROWER WILL BE ENFORCED TO REPAY THE BORROWER’S OBLIGATIONS.

 

Attention!

IF YOU FAIL TO PERFORM YOUR OBLIGATIONS IN A PROPER MANNER, THE LENDER WILL REPORT INFORMATION ABOUT YOUR OVERDUE OBLIGATIONS WITHIN 1-3 BUSINESS DAYS TO THE CREDIT BUREAU WHERE YOUR CREDIT HISTORY IS GENERATED. YOU ARE ENTITLED TO OBTAIN YOUR CREDIT HISTORY FROM THE CREDIT BUREAU ONCE A YEAR, AT NO COST. ATTENTION. BAD CREDIT HISTORY MAY AFFECT YOUR FUTURE ATTEMPTS TO GET A LOAN.

 

When you repay your overdue debt, the payment will be made in the following order:

  • Fines and penalties     
  • Interest    
  • Principal
 

Attention!

Consumers are allowed to cancel the credit agreement at their own discretion, for no particular reason, within 7 business days following its execution unless a shorter period is stipulated therein (cooling-off period). In such cases, consumers are required to pay the interest accrued at the annual percentage rate under the credit agreement. The consumer will not be required to pay any other reimbursement in relation to the cancellation of the credit agreement.

 

Attention!

LOAN INTEREST IS CALCULATED AT THE NOMINAL INTEREST RATE. THE LATTER SHOWS THE ANNUAL INTEREST ON THE LOAN CALCULATED AS A PERCENTAGE OF THE OUTSTANDING LOAN BALANCE. THE LOAN INTEREST IS ACCRUED TO THE OUTSTANDING LOAN PRINCIPAL IN THE LOAN CURRENCY DAILY, BASED ON A 365-DAY CALENDAR YEAR. 

 

THE ANNUAL PERCENTAGE RATE SHOWS THE COST OF THE LOAN IN CASE OF DUE AND TIMELY REPAYMENTS UNDER THE AGREEMENT.

 
Attention!
The amount of interest is calculated based on the annual nominal rate and manner of the loan repayment.
 
 

 

The loan may be repaid in the following manner:

 

  • Annuity (equal payments). In this case the client makes equal payments (consisting of portion of the loan principal and some interest) each month throughout the loan term.

 

More detailed information on the interest calculation procedure is presented here.

 

Attention!

IF YOU FAIL TO PERFORM YOUR PAYMENT OBLIGATIONS WHEN DUE OR DO NOT PERFORM THEM PROPERLY, OVERDUE AMOUNTS SHALL BEAR FINES AND PENALTIES AS DEFINED BY AGREEMENT, AND THE INFORMATION ABOUT YOUR OVERDUE LIABILITIES WILL BE REPORTED TO CREDIT REGISTRY WITHIN 3 BUSINESS DAYS.

YOUR BAD CREDIT HISTORY MAY AFFECT YOUR FUTURE LOAN APPLICATIONS.

 

 

Change of interest rates

 

The Bank is entitled to change the interest rates depending on the volatility of the interest rates on the funds borrowed and/or allocated by the Bank in the financial market, and/or occurrence of preconditions for the change of annual interest rate applied to the loan. The Bank shall inform the borrower of any change in the nominal interest rate made at the sole discretion of the Bank in advance, within the term specified in the agreement (at least 7 days in advance), via the channels specified in the agreement, which shall serve as a basis for applying the new terms from the date specified in the notice. If not consenting to the new interest rate, the borrower may terminate the respective agreement before the maturity date, repaying the liabilities to the Bank under such agreement in full.

 

 

What may help you to get your loan approved

 

  • Long-standing relationship between the Bank and the client
  • Business reputation
  • Other 

 

 

Why your loan might be rejected

 

  •  
  • The borrower's declared income is not sufficient to cover the liabilities.
  • The borrower has bad credit history, delinquent and/or classified liabilities (including to third parties).
  • Other 

 

 


 

Old Terms

 

Updated 17.05.2022, 11:36

Services for Individuals

  
HEAD OFFICE

2 Vazgen Sargsyan Street, Yerevan 0010,RA

Tel.: +37410 56 11 11, (+37412) 56 11 11

in USA:

+1 888 802 5352

In UK:

+448000465400

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in the territory of the country

Dear visitor,
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