Microfinancers wanted to issue loans secured by real estate

Microfinance organizations (MFIs) made a proposal to allow them to issue loans secured by real estate. This is stated in one of the strategy of actions aimed at the development of participants in the self-regulating organization (SRO) “Peace” at 2021-2024, RIA Novosti reports.

According to Russian legislation, private MFIs are not eligible to enter into consumer loan agreements with individuals secured by residential premises. This restriction was introduced in 2019 in order to prevent real estate fraud.

It is noted that microfinancers offer to allow microfinance companies whose capital is at least 70 million rubles, issuing loans for any deposit, including real estate. At the same time, in the Central Bank (Central Bank), they stated that they had not received any proposals from representatives of microfinance organizations.

Earlier, the Central Bank proposed the credit and microfinance organizations to include all additional paid services in the cost of loans. The head of the management of the management of consumer protection services and ensuring the availability of financial services of the Central Bank, Alexey Chirkov, said that the concept of the full cost of the loan (PSK) must be expanded. When making a loan, customers agree on a number of additional payments by default, and all of them must be included in the price immediately so that the borrower is aware of the full amount of its obligations. “Conscribed in this way PSK seems to be the most complete and objectively reflecting all the expenditure of the borrower,” said Chirkov.

/Media reports.