Approved by resolution N of the
Management Board of “IDBank” CJSC
as of 2020
Applied since 2020
The terms mentioned in the bulletin may have been amended.
If you are looking through the bulletin on the website of the Bank, please pay attention to the action date of the information bulletin. If you are looking through the bulletin on the territory of the Bank or in a paper form, please visit the Bank’s website: www.idbank.am for detailed information (paying attention to the action date of the information bulletin), apply to any branch of the Bank or contact the Bank’s Call center: 010 593333 or 060 273333.
|Client group||A remuneration account is a special account serving the amount of remuneration calculated by the RA Defense Ministry to the rank and file at the moment of their release from military service (hereinafter also referred to as citizens receiving remuneration), who have signed contracts on serving in specific locations and conditions, disposal of the funds available on which is restricted by the RA legislation.|
|Types of operations through the account||Funds transferred to the remuneration account can be used only in an order and for purposes defined by RA Government Decision N 456-N dated April 12, 2018.|
|Account opening and servicing fee||Free of charge|
|Annual nominal interest rate||7%|
|Interest calculation||The interest rate is calculated on daily account balance unless otherwise provided by the agreement.|
|Account maintenance/servicing||Free of charge|
|Maximum remuneration amount||5.000.000 AMD unless otherwise provided by law|
|Provision of statements||Free of charge|
|Provision of a second statement||Free of charge|
|Account closure||Free of charge|
1. Remuneration account is opened for an unlimited term.
2. The rights and obligations of the parties in terms of opening, maintaining and cash servicing of remuneration accounts are defined by the relevant agreement.
3. Funds transferred to remuneration accounts are not subject to cashing except for inheritance and (or) cases defined by paragraph 12 of the order approved by decision N 456-N.
4. Funds transferred to the remuneration account can be disposed in the following directions:
- Financing of tuition fees for secondary vocational and/or higher and/or postgraduate education programs in state and accredited non-state educational institutions in the Republic of Armenia and the Republic of Artsakh or higher educational institutions in foreign countries,
- Financing of down payment and (or) monthly payment of mortgage loan for the purpose of buying an apartment immediately from the constructor in an apartment building which is built or is being built in the Republic of Armenia and the Republic of Artsakh, or construction of a residential house in the Republic of Armenia and the Republic of Artsakh.
- Financing of agricultural (farming) activity (including leasing of agricultural equipment) in the Republic of Armenia and the Republic of Artsakh.
5. Citizens receiving remuneration can use the latter in more than one of the defined directions.
6. Interest calculated on the balance of the remuneration account are accrued on a monthly basis.
7. Interest on the funds available on the remuneration account is accrued starting from the day following the deposit of funds until their return to the Client or until the day preceding withdrawal of funds from the Client's account on other basis.
8. The Bank reserves the right of a tax agent to calculate and pay income tax (10%) from interest received on account as defined by law.
9. Attention – Interest against funds available on the Client’s account is calculated based on the nominal interest rate. And the annual percentage yield indicates the income of the Client to be received as a result of making mandatory deposit payments and receiving the earned interest amounts at defined intervals. The order of calculation of annual percentage yield can be found at the following link Annual percentage yield calculation.
10. The annual percentage yield (APY), calculated without the income tax and with annual simple interest rate of 7%: APY=7.23 %.
APY – annual percentage yield,
A – initial deposit amount,
ո – serial number of cash flows against the deposit,
N – the last number of cash flows against the deposit (including cash flow at the moment of opening the deposit) after which the deposit agreement term is considered to be expired.
Kո – flows of capitalized interest amounts at the moment of opening a deposit and/or deposit opened during the term of the deposit, as well as mandatory payments if any.
Dո – the number of days between the date of opening a deposit and each n-th deposit-related cash flow included. When cash flows occur at the moment of opening a deposit, D1=0.
Example of annual percentage yield calculation:
|Deposit start date: 01.08.2018|
|Deposit amount: 5,000,000 AMD|
|Annual interest rate: 7.00%|
|Deposit term: 365 days|
|Amount of income tax: 10%|
|Calculated interest amount: 5,000,000 x 7.00% : 365 x 364 = 349,041.1|
|Income tax: 349,041.1 x 10% = 34,904.1|
|Interest income received by the depositor: 314,137 AMD|
11. Withdrawal of funds from the Client’s account is performed no later than on the banking day following submission of the relevant payment order to the Bank.
12. Funds directed to the Client’s account are credited to the Client’s account no later than within one day after admission of the relevant payment order by the Bank.
13. Remuneration account statements are provided to the Client at least once every 30 days in a way preferred by the Client:
- by e-mail,
- in person,
- by post.
14. The Bank is not obliged to provide the account holder with an account statement if the Bank did not debit or credit the given account within the reporting period.
15. The Client has the right to communicate with the Bank through a preferred means of communication: e-mail of regular post. The electronic means of communication is the most comfortable. It is available 24/7 and is free of the risk of losing information in paper as well as ensures confidentiality.
16. In case of discovering inaccuracies in the transactions related to the account within 15 days after receiving the account statement, the Client may submit an appeal to the Bank. If no such appeals are received within the mentioned period, the Bank shall deem the statement as accepted. The appeal shall be submitted to the Bank in a written form. The Bank accepts the received appeal for processing within the prescribed period by carrying out corresponding actions as defined by rules of local and international payment systems.
17. The list of branches and ATMs of the Bank, information on their locations and working hours can be found at the following link: Branches and ATMs.
18. Remote servicing of physical entity Clients by the Bank is provided thought the IDBanking online system. The order and tariffs on rendering remote servicing are presented in “Public terms on remote banking services”.
19. Disputed arising between the Bank and the Client are settled through negotiations between the parties. Disputes between the parties can be settled though the Financial System Mediator (in an order defined by RA law on “Financial System Mediator”) located at Elite Plaza” Business Center, 7th floor, 15 Khorenatsi str., Yerevan 0010, Armenia, tel. (+374 60) 70-11-11. Fax (+374 10) 58-24-21, e-mail: firstname.lastname@example.org, and/or through commercial arbitration (in an order defined by RA law “On Commercial Arbitration”).
20. Funds invested in the remuneration account cannot be pledged, seized (frozen), confiscated against client’s obligations or serve as a means of liquidation for performance of obligations in case of bankruptcy of the client, except for cases when those funds have been formed from interest paid to the client by the Bank for using the funds on the special bank account, with the exception of other cases defined by the notary or regulatory legal acts.
21. Refundability of funds available on the remuneration account is guaranteed in accordance with the RA law “On Guarantee of Remuneration of Bank Deposits of Physical Entities”.
|Reimbursement of bank deposits of physical entities in “IDBank” CJSC is guaranteed by the “Deposit Guarantee Fund of Armenia” in the amounts of deposits subject to reimbursement, particularly:|
|Currency structure of deposit||If you hold only a bank deposit in AMD in the same bank||If you hold only bank deposit in a foreign currency in the same bank||If you hold bank deposits both AMD and foreign currency in the same bank|
|If the deposit in AMD exceeds 7 million AMD||If the deposit in AMD is less than 7 million AMD|
|Maximum amount of guaranteed deposit||16 million AMD||7 million AMD||16 million AMD (only the deposit in ADM is guaranteed)||7 million AMD (the bank deposit in AMD will be guaranteed in full, and the bank deposit in a foreign currency will be guaranteed in the amount of the difference between 7 million AMD and the bank deposit in AMD subject to reimbursement)|
22. Provisions, which are not regulated by this Information Bulletin, are regulated by the tariffs for services provided by "IDBank" CJSC.
23. The list of documents required for opening a savings account is presented in the list of documents required for opening bank accounts.
ATTENTION: THE BANK IS CONTROLLED BY THE RA CENTRAL BANK