Terms and conditions Non-cash payment of one-time childbirth benefit, state support account opening and maintenance


Within the framework of the Agreement entered between the Bank and the Ministry of Labor and Social Affairs of the Republic of Armenia, the Bank shall, in the prescribed manner, open a special state support account for non-cash payment of one-time childbirth benefit in the name of a child (the Account holder) based on the application submitted by the child’s legal representative (be it a parent, guardian or adopter (the Applicant)) registered under the same residential address in RA. The Bank shall open, process and maintain the account as well as shall carry out account operations free of charge. The person entitled to manage the Account shall manage it through non-cash payments until the Account holder is 18. Annual interest rate accrued over the funds available on the account shall make 9,5%; payment of relevant interests shall be made to the same account once a year.  

 

To open an account, the Applicant shall submit the following documents to the Bank:

1) on the Applicant:

a. One of the identification cards below:

- passport,

- identification card,

b. If the identification document is not an identification card, social security card or a reference the issue of public service registration number shall be submitted.

 

2) on the Account holder: 

a. Birth certificate,

b. Social security card or a reference on the issue of public service registration number.

 

The person entitled to manage the Account shall manage it through non-cash payments until the Account holder is 18, exceptionally:   

 

1) for the repayment of interests and principal amounts of mortgage-backed loans and loans disbursed for an apartment purchase and construction in the Republic of Armenia, if the Borrower is either a parent or adopter of an Account holder,     

2) for the payment of tuition fees (preschool institution fee) of an Account holder, family member and legal representative thereof during their education at one of the licensed educational institutions in the Republic of Armenia,

3) for the acquisition of medical insurance for an Account holder, family member and legal representative thereof in the Republic of Armenia,    

 

4) for the repayment of interests and principal amounts of the loan disbursed to the parent or adopter of an Account holder, if the loan interest rate is partially subsidized in compliance with the procedure approved by Sub-clause 1, Clause 4 of the RA Government Resolution 349-N from 31 March 2011 and if there is an opinion of the rural finance facility of Rural Areas Economic Development Programme Implementation Unit of Staff of the Government of the Republic of Armenia State Agency about the purpose usage of the loan.

5) for the purchase of an apartment, residential house or other real estate in remote, border or alpine settlements with the population of up to 1000 stipulated by Resolution N1017-N from 14 July 2005, if the purchaser is a parent or adopter of an Account holder (through transferring amount to the seller’s account).

 

The Bank shall cease the execution of account transactions based on the order received from the State Social Security Service of the RA Ministry of Labor and Social Affairs (the Service) on suspending the right of account management by the person entitled to manage the Account unless another order is received form the Service or unless the Account holder turns 18

The Account holder shall have a right to manage their account without any restrictions after turning 18. 

 

ACCOUNT CLOSING  

 

If the account balance is zero, the Bank shall close the account upon notifying the Ministry of Labor and Social Affairs electronically and notifying the Account holder in due manner.   

 

The Bank shall close the account also based on the relevant order received from the RA Ministry of Labor and Social Affairs (no later than on the third working day following the day the order has been received), transferring the funds available on the account to another state support account in compliance with the order or state budget of the Republic of Armenia or paying those funds to the person specified in the order.  




Back