Equipment Financing Loan

Loan condition

Terms and Conditions
Loan amount		Up to 70% of the equipment’s total cost or a minimum of MNT 50million
Loan interest	MNT	1.5-1.9% (per month)
Loan interest	USD	1.3-1.7% (per month)
Loan term		Up to 60 months
Loan service fees		0.5% (If loan amount is above ₮5 billion: 0.3%)
Down payment		Аt least 30%
Collateral		Equipment to be financed with a loan (requires additional collateral if necessary)
Insurance		The equipment and machinery to be financed by the loan must be covered by property insurance

Requirement

Condition of Equipment:
o Must be free from physical or technical defects and legal violations.
Usage Proof:
o At the time of signing the loan agreement, relevant documents must confirm that the equipment is new or has been used for no more than one-third (1/3) of its total useful life (depreciation period).
Documentation:
o Equipment must have all required permits, certificates, and documents for sale, purchase, use, possession, and operation.
Market Viability:
o Must be a commonly used and fast-selling item in the market.
Operational Timeline:
o Equipment must be in use and operational within six months of loan disbursement.
Additional Criteria:
o Must meet other requirements specified by the bank.

Required document

Required Documents for Loan Application

Loan Application Forms:
o Loan Application - Company (Form-069)
o Information on Authorized Signatories for Financial Documents (Form-070)
Company Documentation:
o State Registration Certificate
o Company Charter
o Resolution from Shareholders' Meeting or Board of Directors authorizing borrowing and pledging real estate
Licenses and Permits:
o Permit and Special Operations License
Collateral Documentation:
o Collateral Certificate, Certificate of Land Title, Land Ownership Certificate, Contract, Cadastral Map, Power of Attorney if required (original copy)
Business Contracts:
o Contracts related to business activities
Financial Documentation:
o Documents proving income, expenses, payables, receivables, and financing
Environmental and Social Responsibility:
o Relevant documents and materials
Loan Usage and Purpose:
o Documents detailing the use and purpose of the loan
Additional Requirements:
o Other necessary documents

For Equipment Loans

Equipment-Specific Documentation:
o Sales and Purchase Contracts or Invoices
o Description of Equipment
o Equipment Capacity and Quality Information
o Copy of Certificate for Old Movable Equipment, Machinery, and Techniques (if available)
o Copy of Technical Passport or Production Certificate for Installed and Operational Equipment
o Customs Documents for Imported and New Equipment

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You are able use this service in order to find a solution in a short time for all type of your financial demand.

It is a debit card that can be used for transactions up to the available balance in the card account for corporate payments.

This loan is recommended if you are looking to purchase or upgrade equipment or real estate for business expansion.

We offer local and overseas Letter of Guarantee services with the following terms and conditions.