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Fees

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Credit activities of the Bank assume individual approach to each Customer and to each deal. In this section are presented general approaches that serve as guidance when defining credit fees, while the final terms and conditions of each deal/service are defined on a contractual basis.


Fee type	Description	Tariff
Facility upfront fee	This is an upfront fee charged at the drawdown (for revolving limits, every year upon renewal of the service) of the approved facility	Up to 0.5% of the facility amount. In case of term loans, this amount is charged once at the inception of the finance, while in case of revolving lines, which are considered one-year renewable products, fee is charged once at the inception of the finance and every year upon renewal of the facility.
Credit account servicing/ monitoring fees	A fee charged for the annual review of the facilities	Up to AMD 500,000
Credit account servicing/ monitoring fees	A fee, which may be applied in cases of amending the terms of approved or extended facility	Up to AMD 500,000
Facility line non-utilizationpenalty	This penalty ensures certain level yield maintenance for the unutilized portion of the available limits	Up to 2% per annum of the non-utilized amount charged monthly, unless otherwise agreed between the Bank and the Customer. Introducing a minimum utilization level and ensuring that full interest is charged for the underutilized portion (in this case, the calculation is done on annual basis, unless otherwise agreed between the Bank and the Customer).
Loan early repayment penalty	This penalty ensures certain level of yield maintenance for a predetermined period in case of early repayment of the extended facility.	Early repayment penalty may constitute up to 50% of the foregone interest income
Covenant breach penalties	Penalties may be imposed by the Bank for breaches of either of the covenants attached to the facility (including arranging insurance coverage on time)	Covenant breach penalties are generally specified as a percentage of facility amount with an absolute cap fixed (up to 0.5% of facility amount, not exceeding AMD 500,000 for each case)
Default Interest Rate	Default interest rate is applied in case of the failure to pay the facility principal, and/or any interest accrued thereon within the time period specified by the agreement	Facility Interest Rate + 10%

Note

All legal and out-of-pocket expenses, including those related to security notarization and perfection, are borne by the Customer. Below are presented the approximate ranges of fees related to notarization and registration of the securities, however, it should be noted that in certain cases these fees may extend the mentioned ranges based on the specifics of the deal.

During the whole period of extended facilities for statements, advices, their copies and other information bank account respective terms, conditions, timing and tariffs should apply.

Range of fees is defined according to Law on Notary and Law on State Duty.¹


Type of collateral	Notary fee	State Cadastre (electronic registration) / Road Police Inspection Fee
Mortgage over real estate/land plot	Up to AMD 15,000	AMD 26,039 (AMD 26,000 + 0.15% commission for State Electronic Payment System (e-payments))
Trilateral collateral agreement (real estate)	Up to AMD 20,000	AMD 71,107 (AMD 71,000 + 0.15% commission for State Electronic Payment System (e-payments)) (MTG right registration + Ownership right registration)
Trilateral collateral agreement (vehicle)	Up to AMD 20,000	AMD 2,003 (AMD 2,000 + 0.15% commission for State Electronic Payment System (e-payments)) – pledge right registration fee
Pledge over vehicle	Up to AMD 20,000	AMD 2,003 (AMD 2,000 + 0.15% commission for State Electronic Payment System (e-payments))
Pledge over equipment/ machinery	Up to AMD 20,000	AMD 2,003 (AMD 2,000 + 0.15% commission for State Electronic Payment System (e-payments))
Pledge over Trademark	Up to AMD 20,000	AMD 2,003 (AMD 2,000 + 0.15% commission for State Electronic Payment System (e-payments))
Pledge over stock	Up to AMD 20,000	AMD 2,003 (AMD 2,000 + 0.15% commission for State Electronic Payment System (e-payments))
Pledge over share in company/ company stock (LLCs)	Up to AMD 20,000	AMD 2,003 (AMD 2,000 + 0.15% commission for State Electronic Payment System (e-payments))

1 According to the Law on Notary, there is a state duty which is charged by notary according The law on State Duty, but the fee for notary actions/services is determined by the concrete Notary, the Government gives the ranges for fees and the maximum threshold above which the Notary has no right to charge.

Last updated on: 23/01/22 12:07 UTC

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