Average real interest rates on unsecured consumer loans in cash for June 2014 increased by 1-1.8 percentage points. At the same time the number of lending banks among the largest has increased.

According to company data as of July 3, 2014 the average real interest rate on non-purpose consumer credit without the provision of collateral for a period of one year amounted to 66.32% per annum. In comparison with the beginning of June the rate has increased by 1.77 percentage points. The cost of such loans for a period of two years has increased by 1.06 percentage points, up to 65.47% per annum; for a period of three years – by 1.39 percentage points, up to 68.38% per annum.

At the same time the number of lending banks leaders in terms of assets has increased by two financial institutions over the last month and amounted to 17 banks.

Unsecured cash loans without the provision of income certificate from the place of work are given by nine banks, as of July 2014.

According to experts, potential borrowers have become less interested in getting loans against the background of staff cuts and revenues in certain industries.

In addition, card credit lines, i.e. overdrafts, are currently increasingly popular. "The selection can be made in favor of the loan in cash, if the client needs to spend a large amount of funds at once to pay for a particular purchase or service, but there is no possibility to pay using the card," marks Arkadiy Shider, Deputy Head of FUIB's department of crediting and deposits of retail business.

You can read a full version of the article on the website of Prostobank Consulting