Russia to limit one option to get cheap credit
In the Russian Federation, it is planned to introduce restrictions on the issuance of consumer loans secured by cars.
This was stated by Professor of the Department of Finance and Banking of the Presidential Academy, Yuri Yudenkov.
This should reduce financial risks for borrowers and banks, writes Prime .
Car-secured loans are gaining popularity among Russians.
Borrowers, it is noted, can receive money and continue to use their car.
A car pledge increases the borrower's reliability for the bank and can lead to more favorable contract terms.
Pawnshops and microfinance organizations also issue car loans.
New restrictions may help the Central Bank combat grey schemes for purchasing cars on credit.
If conditions become more stringent, this could further reduce the availability of credit for citizens.
