ArmInfo. HSBC Bank Armenia announced the launch of the "Big Family" mortgage program, in which the effective interest rate for borrowers on a mortgage loan will be reduced by 0.25% for each child born or adopted, and for three children the maximum reduction is envisaged by 0.75 % This was announced on September 14 at a press conference dedicated to the launch of this program, said Paul Edgar, Chief Executive Officer of HSBC Bank of Armenia.
According to P. Edgar, the program contains both financial and social benefits. In particular, the financial advantage from the point of view of the client is to reduce the interest rate on the mortgage loan, and the social advantage is to help families waiting for replenishment, but having a mortgage loan, for which we provide support under this program in the form of reducing the burden in fulfilling loan obligations. "HSBC Bank Armenia, within the framework of corporate social responsibility, decided through this program to help those borrowers who are waiting for replenishment in the family. HSBC Bank Armenia adheres to a client-oriented policy aimed at supporting the client in the implementation of a major event in his life, such as the birth of a child Thus, HSBC Bank Armenia makes its contribution to improving the demographic situation in the country, "ArmInfo P. Edgar answered the question.
He noted that given the focus of the Big Family program, clients with children were invited to the presentation event, during which it was planned to present them with a certificate of participation in this program. "And of course, the symbol of replenishment of the family is depicted on the certificate - a stork is a harbinger of the birth of a child," P. Edgar noted.
Migran Muradyan, Director of HSBC Bank Armenia's Retail Banking Department, answering ArmInfo's question, explained that within the framework of this proposal, the mortgage rate is reduced from the current 11% per annum, but 0.75% per three children are considered a restrictive threshold 0.25% reduction for each. Moreover, the reduced rate will be valid throughout the entire period of the mortgage agreement. "The reduction in the mortgage rate under the Big Family program begins to operate on September 16, 2019. Mortgage borrowers who have a child born or adopted after September 16, 2016 need to submit an application with the attached birth / adoption certificate, and those of our clients who are already expecting a family replenishment today and who are planning to have a baby in the future, will automatically become the beneficiaries of this program. families waiting for replenishment, and therefore we decided to launch a targeted support program for them. HSBC Bank Armenia, adhering to the principles of corporate social responsibility and building stable and long-term relationships, puts customer focus at the forefront, " M. Muradyan said.
Pleasant surprises awaited the customers and their children invited to the bank's presentation event - the performance of the clown-juggler, an entertaining program for children, refreshments, and gifts. At the culmination of the event, M. Muradyan presented the clients awaiting replenishment with the certificate of beneficiary of the "Big Family" program.
According to the Financial Rating of the Banks of Armenia as of July 1, 2019, prepared by ArmInfo IC, HSBC Bank Armenia's assets amounted to $ 410.5 million, in the structure of which credit investments accounted for over 64% or $ 263.4 million. Corporate loans dominate in the bank's loan portfolio - about 71%, but in terms of growth rates, retail lending is ahead of 24.6% y / y. Moreover, in the structure of the last 58.8% or $ 34.3 million it is concentrated on mortgage loans, with an annual growth of 12.9%, of which 7.6% growth was recorded only for the II quarter. In terms of mortgage lending, HSBC Bank Armenia holds the 5th position in the market. Mortgages account for 13% of the bank's loan portfolio (versus 10.1% a year earlier), and Bank Armenia covers 5.4% of the total mortgage loans in the HSBC banking sector (versus 6.5% a year earlier). It is noteworthy that almost the entire volume of the HSBC Bank Armenia mortgage portfolio is working loans (standard group). HSBC Bank Armenia completed the first half of 2019 with a net profit of $ 2.8 million, the bulk of which the bank secured for the II quarter. In annual and quarterly terms, the bank managed to increase its net profit by several times. It should be noted that HSBC Bank Armenia, representing the HSBC Bank plc Group in Armenia, has been operating since June 20, 1995. HSBC Bank Armenia shareholders are HSBC Europe BV - 70% and Wings Establishment - 30%. 7 branches of the bank are located only in Yerevan. And this small number of branches in the case of HSBC Bank Armenia is explained by the inherent nature of a foreign bank, the very active use of remote methods of customer service and the digital transformation of banking services.