Positive change in family disposable order

In order to raise the level of social protection of families with three or more children, the government today passed a decision according to which the person having the right of managing the family disposal of the third and subsequent children will be entitled to get 50,000 AMD per month instead of 25 000 AMD, regardless of circumstance of turning one year old.

It should be reminded that, according to the existing order, family money means can be transferred to any bank account after the child turns 1 year old, but at a maximum of 25,000 AMD per month.

The change was made based on information provided by banks. In particular, in 2017, 3.6 bln AMD was used from all households, including 1.9% or 127.9 million AMD, to pay interest on the mortgage loan and repay the principal amount 3.5% or 103.6 million AMD for tuition fees 4.8 or 337.8 million AMD to pay interest on the agricultural loan and repay the principal amount, 0.4 percent or 35.7 million  –  for purchasing real estate in remote, borderline, highland, mountainous rural areas, and 83.2 percent or about 3 billion AMD monthly by transferring 25000 drams to another bank account.

On the whole, in 2017, the amount was mainly used by transferring another 25,000 drams monthly to another bank account. The picture is the same as in 2016. That is to say, in practice, the amount is managed by passing regular or lump-sum payments by transferring to any bank account.

The day after the approval of the approved Government decree, regardless of whether a child is over 1 year old, it may be possible to dispose that amount by transfers any of the bank accounts at a maximum of 50,000 AMD per month.

A person entitled to manage a family shareholder must apply to a bank where the state support (family money) account is opened to use the funds for that purpose. Once applying to a bank, a person entitled to dispose the amount can give orders to the bank to make regular payments for the following months.