Business mortgage

Ø Borrower: Legal entities and individual entrepreneurs

Ø Loan type: no credit line (one-time disbursement)

Loan method: Cash disbursement from the branch’s cash desk

Loan purpose: To provide financing to business entities secured by real estate for purposes not prohibited by the laws of the Republic of Uzbekistan. The loan proceeds may be used without the requirement for subsequent documentary evidence of their intended use.

Loan currency:

Ø National currency of Uzbekistan – som

Ø Foreign currency (U.S. dollars) – with subsequent conversion of loan funds into the national currency, as well as the disbursement of cash in the national currency.

Loan term:

- up to 84 months for loans in foreign currency;

- up to 120 months for loans in local currency.

Loans to sole proprietors in foreign currency are not permitted.

The maximum loan term for sole proprietors in local currency is 84 months.

Option to establish a grace period for repayment of the principal:

Not provided

Interest rate: 

- 15% per annum for loans in foreign currency;

- 25% per annum for loans in local currency.

Minimum loan amount: There is no specific minimum threshold set for this product

Maximum loan amount:

- Up to 500,000 USD (equivalent in local currency) — secured by non-residential real estate;

- 200,000 USSD (equivalent in local currency) — secured by residential real estate.

Loan repayment: monthly, in equal installments, or with varying payment amounts.

Acceptable forms of collateral:

Collateral for the loan must be provided simultaneously in the form of:

- a mortgage on real estate (commercial or residential property) owned by a legal entity or an individual and located in the city of Tashkent or the Tashkent Region;

- guarantees from third parties acceptable to the Bank.

The provision of the aforementioned types of collateral is cumulative (simultaneous) in nature and is a mandatory condition for granting a loan under the “Business Mortgage” product, unless otherwise expressly approved by the Bank’s authorized body.

Guarantee requirements:

- For Borrowers that are legal entities, a guarantee from the founder(s) and the head (director) is mandatory;

- For Borrowers who are individual entrepreneurs, a guarantee from third parties (including spouses, close relatives, partners, or other persons acceptable to the Bank) is mandatory;

- The composition and number of guarantors are determined by the Bank based on a credit risk assessment.

Requirements for real estate accepted as collateral: The real estate shall:

-   be owned by the mortgagor;

-  not be subject to seizure or prohibition;

-  have proper title and technical documentation;

-  meet the requirements for liquidity, security, and acceptability established by the Bank’s internal local regulations;

-  in the case of residential property being pledged as collateral, be free of persons registered at the property’s permanent or temporary address.

The real estate property is subject to mandatory inspection by an authorized Bank employee, with photographic and/or video documentation.

Additionally, the real estate property must comply with the requirements of the “Procedure for Accepting Collateral for Credit Transactions Conducted by the Corporate Lending Divisions of InFinBank JSC.”

Collateral coverage ratio:

At least 125% of the loan amount. At least 130% of the loan amount for parties affiliated with the Bank.

Determination of the value of the collateral:

The specific discount rate is determined by the Bank, taking into account the liquidity, condition, and location of the property, the presence of encumbrances, market conditions, and other risk factors.

Mandatory requirements for Borrowers:

Ø business entities registered in accordance with the procedure established by the legislation of the Republic of Uzbekistan;

Ø possession of a demand deposit account (primary or secondary) with InFinBank JSC;

Ø No negative credit history for the Borrower/Co-borrower/Guarantor;

Ø Other requirements for the potential Borrower/Co-borrower/Guarantor, collateral, and conditions for obtaining a loan are governed by the Bank’s Credit Policy and relevant local regulations of the Bank.

Procedure for Disbursement of Funds: Funding is disbursed after the Bank’s authorized body has approved the application, all necessary agreements have been signed, collateral has been provided and properly documented, the collateral has been registered with the relevant government authority (where such registration is required), the collateral has been insured, and all other preconditions set by the Bank have been met.

List of documents to be provided by the borrower:

Ø Loan application detailing all loan terms and conditions and collateral;

Ø Certificate of state registration of the borrower;

Ø A copy of the company’s articles of association and founding documents, including all amendments;

Ø Copies of documents confirming the person’s authority to sign the loan agreement on behalf of the borrower, if the person is the borrower’s representative, along with specimen signatures.

Ø Resolution of the Borrower’s/Co-borrower’s authorized body to raise the required loan amount under the relevant terms and conditions and to provide collateral for the loan;

Ø Documents regarding the collateral provided, in accordance with the “Procedure for Acceptance and Valuation of Collateral for Corporate Loan Transactions of InFinBank JSC.”