Individuals to Receive Personalized Approach, Equitable Solutions for Borrowers: ABBA

Addressing the questions raised by our fellow citizens and bank customers, we find it necessary to once again provide additional clarifications regarding the work being conducted with customers, informs the Public Relations Service of the Armenian Banking Association (ABA).

Due to the state of emergency in Armenia, aimed at making the support provided to borrowers more substantial, according to the decision made by the Armenian Banking Association (representing commercial banks operating in Armenia), if customers called up or volunteering for military service do not make their loan repayments after September 27, such delays will not be considered as late payments based on a letter provided by territorial military registration offices, and will not be reflected in the credit registry. No penalties will be applied for this period.

It is commendable that, upon the proposal of Armenian commercial banks, the National Assembly has adopted a draft law on amendments to the RA Tax Code, which will allow banks to provide support to borrowers on a more extensive scale without facing tax consequences.

We assure that banks, guided by a human-centered approach to overcome the created conditions and aiming to assist our compatriots to the maximum extent, will consider the possibility of forgiving the credit obligations of individuals from legally defined groups after the end of martial law. For this purpose, each bank will provide a personalized approach based on the analysis of the customer’s financial situation and offer equitable solutions.

Regarding cases of penalties or classifications of loans applied during the period of martial law for objective or subjective reasons, equitable solutions will also be provided in the presence of all necessary documents.

For additional information regarding these processes, it is necessary to follow the announcements of banks or to contact the servicing bank.