Along with pawnshops in Azerbaijan, banks also offer their customers pawn loans in exchange for collateral.
APA-Economics has examined banks' proposals on pawn loans.
It turned out that only 9 out of 25 banks currently operating in Azerbaijan provide pawn loans.
Currently, the Baku branch of the National Bank of Pakistan has suspended all services among Azerbaijani banks.
Banks' offers on pawn loans range from 20-30% with commission.
Bank Eurasia offers the lowest interest rate pawn loan (19% + 1%), and Expressbank offers the highest interest rate pawn loan (29% + 1%).
Banks charge a standard commission of 1% on this loan.
The amount of the proposed loan varies between 300,000 and 30,000 manat.
The loan term is 1-48 months.
The proposals of banks on pawn loans in Azerbaijan are as follows:
Banks | Interest rate | Term (months) | Amount (AZN) | Commission | Requirements |
"RABITA BANK" | 26% | 3-36 | 300-20,000 | 1% | There is a 1% discount for repeat customers |
"BANK REPUBLIC" | 26% | 6-36 | 300-30,000 | 1% | No guarantor required |
"TURAN BANK" | 20% | 1-36 | 300- considered individually | 1% | |
BANK “BTB” | 23% | 1-36 | 300-20,000 | 1% | |
"EURASIAN BANK" | 19% | 48 | 20,000 | 0.8% | |
"MUGAN BANK" | 24% | 3-48 | 300- considered individually | 1% | |
"NATIONAL IRAN BANK" Baku branch | 22% | 1-36 | Varies according to gold jewelry - 10000 | 1% | When 36-60 months Interest is determined by the credit committee. |
BANK OF BAKU | 26% | 3-36 | 300- 20,000 | 1% | |
"EXPRESS BANK" | 22-29% | 36 | 750- 20,000 | 1% | 750 BC from 74 AZN per gram 583-585 from 57 AZN per gram |
in Azerbaijan