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CARD ACCOUNT OVERDRAFT

1. Purpose of the loan:– the Bank makes available overdraft from accounts of individuals, who receive their employee pay on a payment account / Maestro debit card.

2. Eligibility requirements in regard to borrowers:

• Borrowers must be full-aged legally capable individuals, permanently residing in the Republic of Bulgaria, up to 63 years of age for men and up to 60 years of age for women at the time of expiry of the term of the loan applied for.
• Persons, working under indefinite term employment agreements, who are not in a probation period or individuals, deriving their income from economic activity and other activities under service contracts – as sole traders; notaries public; persons in private medical practice; persons practicing liberal professions; persons performing against compensation management and control; craftsperson’s’ activities and other services, based on own labour.
• Regular and stable incomes, which applicants must be able to prove.

3. Amount: – up to 3 net salaries or 100% of their monthly income.

4. Repayment term: – from 3 to 24 months, with an option to extend the term by executing an annex.

5. Loan currency: – BGN.

6. Repayment:

• repaid automatically upon receipt of amounts to the loan account;
• interest is to be repaid on the last day of each month;
• principal to be repaid in the last 3 months before the date of expiry of the agreement, upon which the entitlement to overdraft shall be restored automatically, if no default had occurred in regard to payments of principal and interest.

7. Annual interest rate: - BIR +7.87%.

8. Late payment penalty surcharge – 10%.

9. Fees and commissions: according to the rates of the Bank Tariff, applicable to individuals.

10. Conditions for eligibility for overdraft:

• Transfer of salary to a payment account with the Bank;
• Acceptance of direct debit from all accounts of the borrower;
• Holding of a Maestro debit card, issued by International Asset Bank AD, copy of which must be attached to the overdraft application;
• The applicant must have received his/her monthly salary for at least 2 months or his/her regular monthly income for at least 3 months to the debit card with the Bank;
• Certificate of the net monthly employee pay/service contract fee, issued by the employer (according to standard form).
• Life and Permanent Incapacity to Work insurance in favour of the Bank, covering the loan amount and term, at the expense of the borrower, from an insurer, acceptable to the Bank and if no security would be available - pledge of movable objects or of monetary funds;

11. Early repayment – early repayment is allowed in part or in full for all obligations under the loan agreement, without any additional interest, fees and loan costs being payable.