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Special Offers 
When education is affordable!
Are you a full-time graduate student at the American University of Armenia (AUA)?
Do you need financial assistance to pay your tuition fee?
Apply now by e-mailing financialaid@aua.am, putting "Byblos Bank AUA Student Loans" in the subject and indicating your full name, department, student ID number and the amount of loan you would like to be considered for. Expressions of interest for loans for each academic year are accepted by September 4.
AUA Office of Financial Aid will perform initial review of the applications and submit the list of eligible students and recommended loan amounts to Byblos Bank Armenia by September 15.
Loan applicants must submit a loan application package to Byblos Bank Armenia within five business days after they receive a notification from the AUA Office of Financial Aid stating that their expression of interest has been forwarded to the Bank.
- Financing of 80% of the annual tuition fee.
- Loan amount: minimum of AMD 100,000 with a maximum
financing amount of AMD 3,200,000.
- Loan tenor: Grace period+30 months, minimum of 42 maximum
72 months.
Grace period includes tuition period plus 6 months.
During grace period only interest amount is to be paid.
No loan arrangement and servicing fees are applicable.
Interest rate:
fixed 5% p.a.
Annual percentage rate: 5.11-8.35%
The nominal interest rate of this loan can be changed by the Bank.
Loan interests are accrued according to the nominal interest rate and the Annual Percentage Rate (APR) shows how much the loan will cost you in case you make all payments within the time.
Depending on the Bank risk assessment results, the loan application might be approved at a higher interest rate.
- The borrower/guarantor should be a resident of RA aged between 21-63 years old for the validity of the loan contract.
- The borrower/guarantor should be middle to an upper-income salaried individual or self-employed such as small/medium merchants and industrialists.
- The Borrower should have a working experience of at least 3 months with the last employer and a total 2-year experience in the same business field /1 year experiance is required in case the employer is a major taxpayer or a state institution/.
- The borrower/guarantor should have a minimum monthly net income of AMD 150,000 in case the borrower is single and AMD 200,000 in case the borrower is married.
- The ratio of the loan repayment plus all other regular debt repayments to the available income shall not exceed 45%.
- The borrower/guarantor should purchase a mortgage insurance policy (if available) from the suggested list of insurers.
- The sum insured (if available) should be equal to the loan amount.
- The borrower/guarantor should have a good credit history.
- Only a spouse, parents, sibling and a child may become a guarantor.
To guarantors (upon such a requirement)
If the Borrower defaults on their loan, the Guarantor is liable for the outstanding obligation, which could damage the latter’s credit history and expose them to the risk of losing the property.
The Guarantor will be provided with a copy of the loan and guaranty agreement and the repayment schedule.
Communication is carried out in a manner convenient for the Guarantor.
The Bank is obliged to notify the Guarantor about the change in the terms of the contract seven days in advance.
The Bank is obliged to remind the Guarantor about the existing obligation one day in advance and inform them about the delay in repayment of the loan no later than one day later.
The Guarantor may request information about the amount of the loan balance from the Bank at any time.
The Guarantor may get back from the Borrower the money they paid for the loan, as well as other losses incurred on behalf of the Borrower.
- In case of payment delay of the loan or part of it, as well as accrued interests, the loan interest rate defined by the loan agreement shall not be applied on the overdue loan amount and the Bank will apply a 24% annual interest rate to the amount owed by the Customer for each due day. No other fees are charged for overdue amounts.
- The borrower is entitled to repay the loan or its part prematurely. In case of partial early repayment of the loan, the borrower may decrease the Loan tenor, leaving the monthly installments the same, or decrease the amount of monthly installments at her/his choice.
- In case of
total reimbursement of personal loans with amounts greater than AMD
15,000,000 bank will charge a fee, which is calculated in the following
way:
- 1% of prematurely repaid loan principal within 24 months starting from the date of signing the agreement
- 0.5% of prematurely repaid loan principal, after 24th months from the date of signing the agreement
No partial reimbursement fee (regardless of amount), as well as total reimbursement fee for loans below AMD 15,000,000, will be applied for personal loans. - In case of early repayment of the loan by the borrower only an arrangement fee will be deducted from the total cost of credit. No other costs are subject to deduction.
I = Interest amount
R = Current interest rate
L = Outstanding loan amount
N = Number of days between two payments
- Example:
R=15%
L=1,000,000 AMD
N=30 days
I=1,000,000*15%/365*30=12,329
- The loan is only processed through Byblos Bank Armenia branches.
- The loan is disbursed by non-cash transfer into clients’ bank account.
- The loan disbursement is executed within a maximum period of 3 working days from the date of signing the loan contracts by the client at the branch if mandatory documents are provided.
- The repayment of the loan shall be done in equal monthly installments whereas the interest accrued at the date of repayment shall be repaid first then the principal. In case there are penalties, those will be paid first.
- The main factors affecting the decision to approve or reject the loan are as follows:
a - credit history
b - valid justification for the loan purpose
c - accuracy of the information, provided by the borrower
d - solvency of the client (financial position)
e - creditworthiness of the client (personal qualities, absence of any legal impediment)
f - the type of security.
Credit history
- Credit history is information about a borrower's obligations, showing their debts, payments, payment habits and/or data about their obligations and/or fulfillment of said obligations.
- Credit information providers are ACRA member organizations (banks, credit organizations, insurance companies, organizations carrying out deferred payment transactions, as well as state bodies that provide information about individuals from public databases to the credit bureau in accordance with the procedure established by the Government of the Republic of Armenia), which provide information (data)about the borrower.
- If there are incorrect or incomplete data in the borrower's credit history, then for the purpose of clarification and correction, the borrower, in accordance with the provisions of Article 20 of the Law "On Circulation of Credit Information and Activities of Credit Bureaus" of the Republic of Armenia, may inform the credit bureau or directly contact the credit information providers (listed above).To do so, the burrower may submit a written application to the credit bureau or apply online from the "My ACRA" portal. The process of accepting/receiving, discussing and responding to customer complaints regarding credit reports provided by ACRA, as well as actions that may follow are defined by the Dispute Resolution Procedure of ACRA Credit Reporting CJSC.
- When making a decision on loan approval, the Customer’s credit history information must be no older than 15 days.
- The credit history considered in the score calculation covers the past 5 years from the application date.
- Under the Bank's internal regulations, the credit history retention period is not limited.
- The study and analysis of credit history by the Bank is carried out in accordance with the minimum terms and conditions defined by the internal legal acts of the Bank.
- A bad credit history can serve as a basis for tightening the terms of new loans (as well as other banking services) or their non-provision at all.
More information about credit history can be found on www.abcfinance.am and www.acra.am․
Credit Score
To evaluate a customer’s creditworthiness, Byblos Bank Armenia employs its own credit score, which also incorporates the FICO score. (FICO score is a scoring system which provides a numerical assessment of the Customer’s credit risks. The score is based on the statistical study and analysis of the Customer’s credit history.)
Byblos Bank Armenia's credit score reflects both the Customer’s behavioral and socio-demographic assessments (work experience, income-expenditure ratio, age, educational level, etc.).
The score is important because it enables an automatic decision on whether to approve or deny a certain type of loan.
Byblos Bank Armenia’s credit score is influenced by the FICO score, the Customer’s age, income, employment status and other factors. Factors such as a stable employment history, a long credit history, and timely loan repayments contribute positively to a higher credit score. Conversely, factors like negative credit history entries (such as overdue payments), credit obligations exceeding original balances, or a high number of credit inquiries may reduce your score.
More information about credit score can be found on www.abcfinance.am and www.acra.am․
Steps to improve your credit history and score
Given that the credit score incorporates the FICO score, which reflects the customer's credit history, enhancing the FICO score (credit history) is essential for improving the overall score.
The main priority for boosting your FICO score is to improve your credit history.
This involves, first of all, clearing all overdue payments if there are any. In addition, it is necessary to ensure that there are no overdue liabilities, even if just for one day, on current loans. Early repayment of current loans will also help improve credit history and creditworthiness. Unnecessary new loan requests should be avoided.
Note: Byblos Bank Armenia will provide a decision on the loan application within 7 working days.
In point of breach of loan obligations by the Borrower, the Bank
shall be entitled to receive a reimbursement at the expense of the
mortgaged property, as wells as other property of the Borrower, if funds
from the mortgaged property are not sufficient. The Bank shall be
entitled to foreclose the mortgaged property via in and out of court
proceedings and direct the funds from the foreclosure to the repayment
of the debt and consequently, the owner of the property may be deprived
of her/his property. In case of payment delay, the Bank will update the
Borrower’s profile in the Central Bank of Armenia Credit Register and
Credit Bureaus, which can lead to a negative impact on the Borrower’s
credit history and cause difficulties in the loan obtaining process in
the future.
According to the law of the RA “On Combating against
Money Laundering and Terrorism Financing” the Bank for proper
investigation of clients' profile can obtain additional documents or
other information as per Know your customer-principals, also during
verbal communication ask additional questions from the client (in case
of need).
According to an agreement with the United States of
America regarding the Foreign Account Tax Compliance Act (FATCA) - the
Bank may request or gather additional information in order to identify
Borrower’s status as a USA taxpayer.
Information about loans are
also presented on www.fininfo.am web page, section “Your financial info
center”, which is an electronic system for searching and comparing of
services and makes it easy for you to choose which option is the easiest
way for the most efficient option selection.
After signage of
the housing loan contract, you may communicate with the Bank at your
choice by post or e-mail. The most convenient way for information
receipt is the e-mail. It is available 24/7, the risk of information
loss is eliminated and ensures secrecy.
You can receive the statement of the loan in your chosen way. Statements and certificate of loan account are provided as per bellow tariffs:
| Title | ֏ |
|---|---|
|
Provision of statement monthly
|
Free of charge
|
|
Provision of statement duplicate up to 6 months*
|
3,000
|
|
Provision of statement duplicate over 6 months*
|
6,000
|
|
Certificate of balance related to loans*
|
3,000
|
|
|
|
|
* VAT included
|
|
