Loans are more sought by banks and through mutual lending platforms

In the first three quarters of this year, consumers were more likely than last year to seek funding from banks and peer-to-peer lending platforms, according to data from credit history system Mano Hedda Gabler.

Between January and September, consumers submitted 8% more credit applications to banks and credit unions than a year earlier. About 25% of those intending to borrow through mutual lending platforms.

The opposite trend is observed

The opposite trend is observed

In other sectors providing credit and hire-purchase services. According to Mano Hedda Gabler, consumer applications for small consumer credit companies decreased by 26% in January-September compared to last year. There was a 7% decrease in pay-to-buy intentions in telecommunication companies at the same time last year. Applications for leasing and larger consumer credit companies decreased by 1%.

“In the credit market, the dividing line between what was once considered a banking product and what was not, was increasingly narrowing. Companies in the non-banking sector are increasing competition for banks by issuing credit cards, granting or preparing for home loans. Meanwhile, banks are not standing still. They pay more attention to those looking for credit. This competition benefits consumers by pushing all sides to stretch, both technologically – in terms of speed and price, ”says Andrius Bogdanovic, CEO of Hedda Gabler, a credit bureau.

Banks have received the most credible customer applications

Banks have received the most credible customer applications

Within 9 weeks m. For months, banks have received the most credible customer applications. 77% of banks that were willing to borrow from banks had “good” credit ratings, ie A, B or C. The proportion of good customers among consumers seeking financing in telecommunication showrooms (eg tablet rentals) was 74%. Good clients accounted for 56% of leasing and consumer credit companies. The smallest trusted customers turned to the smallest consumer credit companies – one in five (19%) had an A, B or C rating.

In the third quarter, the average mortgage loan issued by banks was 49 thousand. The average consumer credit granted by banks was 4.1 thousand. USD, leasing average – 17 thousand and credit card limit – 1.5 thousand. USD.

By comparison, in the third quarter, the average mortgage loan issued in the non-banking sector was USD 43 thousand, consumer credit – USD 930, average leasing contract – USD 620, and the average credit card limit – almost USD 1.5 thousand. USD.


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