General Conditions of Financing

General conditions of financing

• financing of corporate clients - legal entities and natural persons entitled to conduct business activities
• basic presumption of financing is

• - ability of client to meet his obligation resulting from contractual relationship, i.e. prove return of bank transaction within agreed term and amount and provide to the bank acceptable securing in required amount
• - proof of return of funds by economic way, i.e. from business activity of client

• the bank carries out specific financing, i.e. client must prove the purpose is met by invoices or other relevant documents
• bank does not finance projects to be harmful for the public order and morale
• the bank finances clients in EUR, CZK, USD with possible conclusion of bank deal

• - for short term with maturity within 1 year,
• - for medium term with maturity within 1 - 5 years
• - for long term with maturity in excess of 5 year

• minimum amount of bank deal is EUR 150 ths.
• interest rate depends on assessment of client's creditworthiness and efficiency of bank deal in respect of risk resulting from it

Securing instruments

• real estates (production, warehousing and business premises, administrative buildings, hotels, pensions, chalets, etc.)
• movable assets (technological equipment, means of transport, production inventory and goods)
• Trade receivables
• deposit on deposit account
• state or banker's guarantees:
• guarantor's covenant of a renowned company
• bill of exchange or other security
• supporting securing instruments (notarial deed with execution title, blockage of payment of insurance premium from insurance of subject of collateral, promissory blank note, insurance of client against death, disability, incapability to work)

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