Knowledge base / Banks and accounts
Your Armenian bank stopped a payment or restricted your account: what to do
Why a bank stops a payment
- The transaction does not match your type of activity: for example, an IT company suddenly receives payment for a delivery of goods.
- Your turnover has jumped and the bank does not know why, because you did not tell it about a new client or a new service.
- Money arrives and leaves for third parties almost immediately. The bank sees transit and wants to understand the deal.
- The payment reference is vague: "payment", "transfer", "per contract". The bank officer cannot tell what the money is for. It is better to state the type of service, the invoice number and the period.
- The payer is not the party to the contract but someone else, such as the client's "partner" or a private individual with no contract.
- The counterparty is in a high-risk country or is linked to sanctions lists. In that case documents usually do not help, so check your partners before you sign a contract.
What to do if your account is restricted
- Clarify the request in writing
Ask your manager by email or online banking to name the transaction and list exactly which documents the bank needs. The law limits what staff can explain, so you may not be told the real reason. - Put together a complete package
Prepare the contract, invoice and acceptance certificate, and if needed, correspondence, the statement of work or screenshots of the work delivered. - Ask about the language of documents
Many banks accept documents in English and Russian, but requirements differ, so find out in advance whether an Armenian translation is needed. - Write a short explanation
Five to ten calm sentences are enough: who you are, who the counterparty is, what service you provided, why the amount is what it is and where the money comes from. - Reply quickly and in one package
Do not delay or send documents in pieces: delays increase the risk that the bank will reject the transaction or stop serving you. - Keep a copy of your reply
It will be useful if the question comes up again or if you have to open an account with another bank.
What to keep at hand
- A contract with the full details of both parties, the subject, price, currency, payment terms and signatures.
- An invoice with a number, date, a reference to the contract and an amount that matches the payment.
- An acceptance certificate or report describing the result, not just the phrase "services rendered". This shows the bank the work is real.
- Source-of-funds documents: a statement from another bank, a property sale agreement or proof of income. You need these if you top up the account with your own money.
- Counterparty details: website, registration information and, on request, information about the beneficial owner.
Common mistakes
- Working without a written contract, "on trust", especially with a foreign client. Without a contract the bank has nothing to check the deal against.
- Accepting payment from a third party not named in the contract and not explaining to the bank why.
- Not updating your bank questionnaire when your activity, countries or turnover change significantly. Transactions that match your profile raise far fewer questions.
Frequently asked questions
Why did my Armenian bank stop a payment?
Common reasons include a transaction that does not match your type of activity, a sudden jump in turnover, money passing straight through to third parties, a vague payment reference, or a payer who is not party to the contract.
What should I do if my bank account in Armenia is restricted?
Ask the bank in writing to name the transaction and list the documents it needs. Then send a complete package with a short explanation quickly and in one go, and keep a copy of your reply.
What documents should I keep to avoid bank payment holds in Armenia?
Keep a contract with full details of both parties, an invoice that references the contract and matches the payment, an acceptance certificate describing the result, source-of-funds documents and counterparty details.
What should I write in the payment reference for an Armenian bank transfer?
Avoid vague references like "payment", "transfer" or "per contract". It is better to state the type of service, the invoice number and the period so the bank can tell what the money is for.
We will help you answer the bank calmly
Team2B will prepare the contract, invoice and compliance explanation for your deal and set up bookkeeping the bank can follow. We speak English and Russian.
Sources: Central Bank of Armenia, Financial Monitoring Center · Law of Armenia on Combating Money Laundering and Terrorism Financing (arlis.am) · Law of Armenia on Currency Regulation and Currency Control (arlis.am)