Information on changes to the rules for granting consumer loans and borrower’s life insurance terms

Dear customers, we hereby notify you that from September 25, 2023 amendments are introduced to the “Rules for granting consumer loans at JSC CREDIT AGRICOLE BANK” and borrower’s life insurance terms”.

Amendments were introduced in order to bring the Rules in compliance with the effective legislation in the area of payment services.

The changes concern:

• outline of account debiting terms (direct debit) (cl. 1.8),
• procedure for amending and supplementing the Rules and customer notification (cl. 12.12).

Updated Rules are posted through the TARIFFS AND INFORMATION FOR CUSTOMERS.

Below you can read the amended and supplemented text of the document:

List of clauses added to the Rules:

1.8. Debiting the account (direct debit). By concluding the Agreement, the terms of which provide for debiting the account, the Borrower gives the Bank an instruction and consent to debit the Borrower's accounts, and the Bank is entitled to initiating a debit transfer from the Borrower's accounts that are opened or may be opened with the Bank, in any currency and for any amounts from the performance of any of the transactions listed below, including from the performance of related payment transactions (related transactions refer to transactions for which the Borrower's obligations to the Bank have reached maturity under the Agreement, namely:

-  amounts owed on the return of the loan amount and/or interest charged for the use of the loan;

 - penalty amount (penalties, fines) for the Borrower's violation of his/her obligations, accrued under the Agreement;

- other payments that may arise under the Agreement.

1.8.1. Borrower's Account refers jointly or severally to any of the Borrower's current and/or deposit accounts, opened or to be opened by the Borrower with the Bank on the basis of each of the applications and/or agreement on opening account, as well as any other account of the Borrower, which was opened or will be opened for the Borrower with the Bank without the Borrower providing such an application and/or agreement on opening account in accordance with current legislation. Each of the Borrower's applications and/or agreement on opening account is an integral part of the Agreement for the purposes of determining the Borrower's account number (above in the text and hereinafter, the Account or jointly Accounts).

1.8.2. In case of insufficient funds to repay the obligations in full, the Parties agree that the debiting of the account may be carried out partially (for the remaining funds on the account). Every business day, the Bank checks the status of the account and, provided there are funds available, makes a payment/payments in full or in part, until the obligations are completely fulfilled/debt is repaid

1.8.3. The Bank has the right, but is not obliged, to accept the performance of obligations in a currency other than that specified in the Agreement. The Borrower instructs the Bank, and gives the Bank all the necessary authority, on behalf and at the expense of the Borrower, and if necessary, on its own behalf, but at the expense of the Borrower, to purchase and/or sell or exchange currency.

The Borrower also grants the Bank the right, instruction and consent:

(і) to debiting payment operations on the Borrower's Account in a currency other than the currency of the obligation under the Agreement (hereinafter, the Debt Currency) for amounts in the respective currency of the account for the sale (or exchange) of the respective debited currency for (to) the Debt Currency or the purchase of the Debt Currency for currency debited from the Borrower's Account on behalf and at the expense of the Borrower, and if necessary – on its own behalf, but at the expense of the Borrower; and

(іі) to purchase and/or sell, and/or exchange such currency debited from the Borrower's Account (hereinafter such currency exchange transactions are referred to as "Conversion") on the international currency market and/or the interbank currency market of Ukraine at the NBU exchange rate on the date of the transaction.

The Bank credits the Debt Currency received as a result of the Conversion to the Borrower's Account in the relevant currency(s) and/or directly to the Bank's account for the purposes of fulfilling the Borrower's respective obligations. If necessary, the Bank, on behalf of and at the expense of the Borrower or on its own behalf, but at the expense of the Borrower, pays all fees / taxes / other expenses applicable in the implementation of the Conversion, including the fee to the Pension Fund of Ukraine, in the amount established by the current legislation of Ukraine (if applicable).

The Bank is the recipient of payment operations for debiting the account, and the Bank independently transfers them to the relevant accounts to repay the debt.

1.8.4. Funds are debited from the Borrower's Account according to the Bank's payment instructions. At the same time, when determining the sequence of receipt of payment documents to the Bank during the day of debiting the account by the Bank, such payment instruction(s) will be considered to have priority regarding its/their receipt by the Bank and therefore, accordingly , subject to execution by the Bank prior to other payment documents.

1.8.5. The maximum amount of payment operations for debiting the Borrower's Account under the Agreement is calculated on the corresponding day of debiting the Account and is the sum total of the following amounts: (i) all current debts of the Borrower to the Bank existing on the day of debiting the Borrower's Account and (ii) all overdue debts of the Borrower to the Bank existing on the day of debiting the Borrower's Account and (iii) penalties (fines/penalties) for the Borrower's breach of obligations under the Agreement.

The Borrower's signing of the Agreement means the Borrower's consent to the debiting operations on the Account stipulated in the Agreement and these Rules, including the first and all subsequent related payment transactions.

The Parties have agreed that related transactions refer to transactions for the fulfillment of the Borrower's obligations to the Bank that have reached maturity under the Agreement, the cases and terms of debiting the account, are similar in content and are related to each other by common characteristics of the transaction and each of their fulfillment (performance) by the Bank as the initiator of the payment transaction does not require consent from the Borrower and is covered by the consent given by the Borrower to the Bank under the terms of the Agreement. In accordance with the Agreement, the consent given by the Borrower to the Bank for debiting the account is not limited by the amount and is valid during the term of the Agreement.

The Borrower may not revoke the consent given under the Agreement to perform payment transactions by debiting the account, which are carried out to fulfill the Borrower's monetary obligations to the Bank.

1.8.9. If there is a balance of funds on the Borrower's Debt Repayment Account after full repayment of the debt under the Agreement, the Borrower instructs the Bank to credit such funds to the Borrower's current/card account opened with the Bank. If the Borrower does not have an open current/card account with the Bank, the Borrower must contact the Bank to receive the remaining funds through the Bank's cash desk.

12.12. Amendments and supplements to the Rules are made unilaterally by the Bank/Insurer; all versions of the Rules are stored on the Bank's official website.

The Bank sends the Borrower information on amendments and supplements to the Bank's Rules and Tariffs by sending messages in the "CA+" Payment Application, as well as by posting announcements on the Bank's official website in the relevant sections.

Notifications of changes are communicated by the Bank to the Borrower no later than 15 calendar days before their introduction in the way specified by the Borrower in the application form-questionnaire, and/or by placing advertisements in the national mass media, and/or on the Bank's Official Website, and/or at information boards in the Bank's entities, and/or otherwise, at the Bank's choice. If the Borrower does not agree to the changes, he/she is entitled to terminating the Agreement early without paying an additional commission fee for its termination, having previously repaid all debts under the Agreement. Otherwise, such changes are considered accepted by the Borrower, unless the Borrower notifies the Bank of the termination of the Agreement prior to the date from which the changes will be applied.