Russians will have personal credit ratings

Starting next year, it will become more difficult to get a loan in Russia. According to Rossiyskaya Gazeta, every national will soon have a personal credit rating.

Ramil Sitdikov | RIAN

The said rating will be an aggregate figure calculated by a computer and based on a personal credit history. That should make it easier for the banks to make decisions on extending loans. As Nikolay Myasnikov, acting CEO of the United Credit Bureau, explained to Rossiyskaya Gazeta, the rating will be influenced by such factors as delays in loan repayment, overall loan burden, credit history length and even a number of requests to review that history. Russian nationals with highest ratings will get easiest access to new loans, as the higher the rating, the lower is the risk for a financial institution extending a loan. Yet a high rating as such will not guaranty a loan extension.

At the moment, a credit history of a Russian national can be obtained by any entity, but they are mainly requested by banks and microlenders.

As of August 2018, over 90 million Russians had credit histories (which according to the United Credit Bureau is 40 million individuals more than in 2013). The Central Bank of Russia has reported that in 2017 aggregate loans of the Russian citizens grew by 13.2% and reached RUR 12.2 trillion ($182 bln). About ten million people in Russia have declared themselves bankrupt. Over the first six months of 2018 the interests on the loans extended by banks to individual borrowers amounted to nearly RUR 800 bln ($12 bln).

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