Lending

Loan granting procedure

The bank issues loans to private and legal entities.

According to the Law "On Credit Institutions" of the Republic of Latvia (section 1, part 1, clause 5), loan is a remuneration transaction, wherein the bank gives money or other valuables to a customer pursuant to a written agreement entitling a customer to manage them and obliging to return the money or other valuables to the bank within the specified time limit and in line with the applicable procedure.

The bank reviews questions concerning loan granting and conditions of these transactions in accordance with the applicable procedure in line with the requirements of the laws and regulations of the Republic of Latvia.

The customer submits a loan application to the bank. The application must contain: loan amount, loan purpose; documents specified in the application must also be provided, including documents proving creditworthiness of the customer, and a business plan (in case the loan is intended for business purposes).

The bank’s specialists – loan managers render all necessary assistance to the customer – advising on preparation of documents, and checking the documents provided by the customer.

Credit Committee – internal collegial and consultative body of the bank – reviews the customer’s loan application and the submitted documents.

Loan issue (transfer of money) to the customer takes place after the loan agreement and other agreements (mortgage, warranty, commercial pledge and others) are signed by the bank’s and the customer’s party, i.e., after the transaction is concluded and the customer has fulfilled conditions of the loan issue.

Amendments and addendums to the concluded loan and other agreements are made where required in line with the described procedure.