“the Demand for unsecured loans would have fallen even more if the banks were not developed online sales channels, – said General Director nbki Alexander Vikulin. – The number of online applications and did not drop as sharply, and recovered faster, although there is also stronger affected the demand for large loans”.
the Russians were less likely to take on a major purchase and microfinance institutions, the study showed the online platform Webbankir. In the period of the pandemic from 14.4% to 11.2 per cent decrease in the share of loans for purchase of household appliances and electronics, clothes and furniture. From 15 to 12 per cent decrease in the requests for loans for housing repairs, from 9.7 to 9.3 – to repair the car, from 5.6 to 4 percent for treatment.
most Often in April in MFIs Russians took out loans for urgent needs – the application people pointed out that the money they needed, unforeseen circumstances, force majeure, is not enough to paycheck, etc., the Share of such loans increased to 23.6 percent. The second popular place was loans for personal needs (18 percent). The highest growth in the period of isolation shown by the loans to refinance loans, education, and online payment services.
“We intentionally share the personal loans and for emergency needs. As a rule, and in that and in other case the money goes to ongoing household costs associated with the arrangement of life, maintenance of home and family. The difference is that in case of urgent needs of customers emphasize on the urgency and unpredictability of such costs. The increase in such loans had deteriorated financial situation of the Russians, many of whom were unemployed or seriously lost wages”, – said the General Director Webbankir Andrey Ponomarev.
In the first quarter of this year, according to preliminary data, “United credit Bureau” (OKB), banks issued almost 3,95 million cash loans in a total amount of 1.2 trillion rubles. Compared to the first quarter of 2019, the number of new loans increased by 13 percent and the lending of 18 per cent.
As noted by the General Director of OKB Arthur A. in the first week-days of quarantine (30 March – 3 April) issuance declined by approximately 3.3 times compared with the average number of renditions in the working days of March. “On the one hand, ceased operations many of the outlets, and citizens became more difficult to spend your money. On the other hand, amid rising unemployment and wage cuts, banks now can not be sure that third-party clients lost their jobs or will lose it soon, so tightened their credit policy”, – said the expert.
In early April, consumer loans increasingly was taken by the Russians under the age of 40 years. The share of such borrowers increased by 6 percentage points and those older than 50 years, on the contrary, decreased. In NCB, the rising share of “young” borrowers explain the fact that the period of isolation in the segment of consumer loans increased significantly, the proportion of online applications. So, if in March 2020, their share in the total number of loan applications amounted to 30-35 percent in April – already 40-50 percent. Young people are more technically aware and used to the Internet, so they more than borrowers are older and have used credit cards online.
In General, due to the decline in economic activity this year, the growth rate of credit portfolio of banks will decline, predicts ACRE. Retail loans will increase for the year of 11 per cent (18.5 per cent in 2019), the main growth factor is expected to be an increase in mortgage lending. It is related to the expansion of state support programmes, as well as with the decrease in the volume of early repaid the debt.
The NCB also noted that in conditions of falling incomes and declining appetite of banks to risk the full recovery of demand for consumer loans is unlikely even in the medium term.
