Escrow Account | Micro and Small Business | Ameriabank
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Escrow Account

For businesses with up to AMD 750M annual turnover

We find it very important that you enter new markets, expand your footprint, scale up cooperation with other companies, and find major reliable partners. 

When you plan ahead and design new projects, you may rely on our services and unconditional support as your best partner. 

When conducting trade or other major transactions, it is a matter of concern where to keep the funds until execution and completion of a transaction. For enhanced security and reliability, we offer opening an escrow account at Ameriabank as a guarantee of safekeeping and payment of funds. It is a special bank account opened by the parties to the transaction. Funds are kept on the escrow account until completion of the purchase and sale transaction or fulfillment of obligations between the parties. The account is closed upon closure of the transaction. 


Security

Cash will be paid only (i) after the transaction is finalized and the bank is provided with sufficient documentary proof that contractual obligations between the parties have been performed properly and when due, or (ii) in other cases agreed between the parties.

Repayment of funds

You will get the cash deposit back, if the other party to the transaction does not perform its obligations when due, or in other cases defined under respective contract or by mutual consent of the parties.

How do I open an account?

To open an escrow account, you can visit any branch of Ameriabank, complete escrow transaction application, indicate the transaction details, and provide identification documents of both parties to the transaction (for individuals - ID, for legal entities – reference from state registration authority and ID of the director), as well as the documents related to the subject matter of the transaction. After that, you will need to schedule an appointment and visit Ameriabank’s head office together with the other party to the transaction to sign the trilateral escrow agreement. Your escrow account will be opened based on the agreement. 

1. Opening and maintenance of the account

For transactions within 500 million AMD or foreign currency equivalent: front-end fee of 0.3% of escrow amount, minimum AMD 50,000
maximum AMD 1,000,000

2. Amendments to the escrow agreement

AMD 25 000 Per each supplementary agreement

3. Closing of the account

Free of charge

4. Cash withdrawal

According to “Cash operation fees”

5. Money transfer

According to “Transfer fees”


Attention!

The escrow fee may be changed by the decision of relevant authorities of the Bank. Relevant notice is given to the client on the next business day after approval of new rates and fees. 

The maximum escrow amount depends on the requirements of the transaction.The term of the escrow operation depends on the transaction term. The currency of the escrow operation depends on the transaction currency. 

This information guide specifies the terms and conditions of  opening escrow accounts

The information is also available at Ameriabank CJSC’s website www.ameriabank.am:

An escrow account service includes:

  • opening of an escrow account with the bank for the customer;
  • depositing/freezing of the customer’s funds on the escrow account;
  • providing to the bank documentary proof of discharging of liabilities;
  • payment of the escrow amount.

Terms of escrow operations:

  • The maximum escrow amount depends on the requirements of the transaction.
  • The term of the escrow operation depends on the transaction term.
  • The currency of the escrow operation depends on the transaction currency. 

 

Escrow account is opened at the Bank’s head office. 

List of documents required for escrow account opening

  • Escrow account application
  • IDs of the parties to the transaction
  • Agreement (or other document, if any) backed by the escrow account transaction
  • Other documents (as the case may require)

TERMS AND CONDITIONS OF OPENING AND SERVICE OF ESCROW ACCOUNTS

 

Fee

1. Account opening and service fee

For transactions within AMD 500 million or foreign currency equivalent: 0.3% of escrow amount, min AMD 50,000, max AMD 1,000,000, payable lump-sum
For transactions exceeding AMD 500 million or foreign currency equivalent: contractual, min AMD 1,000,000

2. Amendments to escrow agreement

AMD 25,000 for each supplementary covenant

3. Account closing

free of charge

4. Cash withdrawal

In accordance with Tariffs for Cash Operations

5. Transfers

In accordance with Tariffs for Money Transfers

 ATTENTION! The escrow fee may be changed by the decision of relevant authorities of the Bank. Relevant notice is given to the client on the next business day after approval of the new rates and fees. Calculation and payment of the fees is subject to relevant agreement. 

 

Last updated on 29.09.2021, 09:47