A reminder of the borrower

1.The decision about getting a loan is an important decision.

Before you execute a loan at a credit institution, the borrower must pay attention to the fact that a loan involves an obligation to return within the credit agreement the principal amount, pay interest for loan use.

Before deciding about obtaining a loan the borrower must:

  • define the purpose of the loan, to assess their requirements in obtaining credit and its timely repayment in accordance with credit agreement
  • to see the terms and conditions on which credit is extended, including all payments related to the loan and its repayment
  • pay attention to the interest rate of the loan
  • pay attention to the size of the annual effective interest rate that takes into account the payments the borrower associated with the loan in favor of the Bank
  • pay attention to the full cost of the loan in absolute value, which takes into account the client's expenses, including payments to third parties at the time of conclusion of the credit agreement.

2. Carefully review the loan agreement and other documents.
The borrower before signing the loan agreement you should carefully investigate its terms and conditions.
Prior to the signing of the loan agreement, the borrower has the right to:

  • at its discretion, to require draft contracts for legal advice
  • if the terms of the credit agreement is not clear, ask for clarification from the employees of the Bank.

After examining the terms of the credit agreement, the borrower need more time to weigh all "for" and "against" the loan.

3. Contract signing for the loan.
At the request of the client agreement shall be in the state or in the official language (providing the right of choice of language to the borrower). The text of the credit agreement should be clear and easy to read and understand.

At the signing of the loan agreement the borrower should clarify all the terms and conditions on which the loan is made, in order to avoid possible problems with repayment of funds in accordance with the terms of the loan agreement.

After the signing of the loan agreement, the borrower has the right to refuse the loan in the period after the conclusion of the credit agreement prior to receiving funds.

You need to remember that by signing the loan agreement, the borrower agrees to all its terms and undertakes to perform them.

The borrower should know that in case of default or inadequate execution of obligations under the credit agreement, the banks can handle the recovery on the collateral (including immovable property: a house or apartment) according to the legislation of the Kyrgyz Republic.

In this regard, the credit agreement and other Bank documents shall be signedif the borrower is assured that all contract terms are clear, he exactly is what and when payments must be made, and he's convinced he can do it.