Terms for restructuring retail ((incuding express-mortgage BSTDB) Consumer, renewable express, Simple and Mortgage problem loans) credits secured by a pledge of real estate *  

1.     Basic Terms

1.1

Available types of restructuing

 Change in the schedule within a valid timeframe2

Timeframe extension (also in the event of a failure to meet the outlined terms2 )

1.2

Minimum number of overdue days as of the moment of decision-making

 60 days and/or classisfied with a "non-standard" and higher risk class

1.3

Maximum number of overdue days 

Not defined

1.5

Change in the interest rate**

Interest rate stipulated under the Contract but no less than 14% and no more than  21.7 %

1.5.1

Interest rate established in the event of the Borrower's failure to perform his/her liability

 24% per annum in the event of an overdue credit

1.5.2

Penalty for an overdue interest sum

48% per annum

1.6

Bid study fee

AMD 5,000

1.6.1

Pledge registration fee*****

AMD 26,000
 (charged until the signing of the contract ) 

1.6.2

Credit servicing fee

Not defined (the servicing fee shall be terminated in the event of a formerly existing servicing fee with respect to a credit being restructured) 

1.7

Maximum extension timeframe from the moment of restructuring

-

Maximum for 180 months

1.9

Change in the contractual amount

Interest sums settled for the credit (including overdue and/or fixed-term, interests settled for an overdue credit, penalties settled for an overdue interest), other liabilities and the expenditures made by the Bank for measures towards the return by the Bank of the problem credit shall be added to the Principal Amount of the credit. 

1.10

Procedure for the redemption of the priincipal amount and the interest sum

Monthly (annuity-based)

2.     Borrower, Credit History and Income Requirements

2.1  

Customer's age

 The Borrower may not be aged above 70 on the final date of credit redemption

2.2 

Requirements for credit history

Absence of overdue liabilities with respect to other credits without a pledge in the Bank in the Customer's name at the moment of considering the Bid 

3.    Document Submission and Decision-Making

3.1  

Timeframe for document submission

Within no more than 5 business days from the date of bid acceptance

3.2  

Maximum timeframe of debiting the minimum redemption amount

-

20 business days. Deemed satisfactory also in the event of   redemption in the 10 days preceding  bid acceptance and in the period between bid acceptance and decision-making

3.3 

Decision-making timeframe

Within 7 business days after document submission

3.4 

Decision validity period

 25 business days after deicision-making

4.    Other Terms and Provisions

4.4 

Pledge assessment 

Not required

4.5

Pledge registration fees

The state registration (re-registration) related costs for the Pledge shall be made at the expense of the Bank, except for the cases when the Customer wishes to register the transaction in an expedited manner different from the standard timeframes prescribed by law.  

¹  The Mortage Loans shall cover also the improvement and repairs costs. The measure shall apply only to loans issued or relocated with the Bank's resource at the moment of the restructuring. 

² In the event of a change in the timetable, the credit redemption timeframe shall be no less than above 6 months after bid acceptance, and the existing debt shall not surpass the contractual amount available at the given moment. Meantime, in the event of the observance of the term set forth in 1.1 hereof the credit timeframe may be extended as per the Customer's application in a manner prescribed hereunder. 

*For credits issued in a foreign currency, the restructuring shall processed in Armenian Drams subject to the terms herein. The non-cash exchange sale rate set by the Bank shall apply to the given foriegn currency for liability conversion. 

**For a floating interest rate, the interest rate specified in the Agreement shall serve as a basis in the restructuring process. 

*** An additional accord on the collateral agreement shall be concluded through notarial authentication also in the event of a change in the liability volume (except for the cases prescribed in the agreement), including a change in the credit currency, as well as in other cases prescribed by the collateral agreement. 

**** Whenever an asseet becomes overdue for 31 and more days in the probation period,
1) the probation period set with respect to the asset shall be terminated from that moment on, and
2) a new probation period shall be set with respect to the given asset whenever the credit in question is serviced again subject to a revised agreement. Moreover, in the event of establishing a new probation period, the period time of the previous probation shall not be covered therein.

*****A Pledge registration fee shall be charged only for transactions requiring a notarial authenticaiton.

In case of a customer acting in the capacity of a Sole Entrepreneur (SE), the Credit restructuring process be carried out the name of the natural person who registered the SE. 

 A credit restructuring shall be carried out onlya once per type of credit set forth herein. 

It is the Bank's right to proceed to a restructuring (refinancing) process subject to the present terms. The Bank shall be entitled to initiate a restructuring (refinancing) subject to terms other than presecribed in the present agreement. 

Whenever as a result of a restructuring process, the agreement limit and tiemframe suprass the terms prescribed by the Master Contract, the term and the timeframes prescribed by the Master Contreact shall be brought in line with the corresponding terms.