In 2020 mortgage lending will return to levels before 2014. This was announced on February 5 forum Legal Banking Forum 2020 in Kiev.
The participants stated that mortgage lending reverts to the level of 6-year-old, in connection with which I discussed the issue of defaults on loans, which significantly affects the growth rates. Because banks consider the amount of defaults in the cost of credit.
“Why are these loans? Because they are often not given. When the Bank will use the correct rating, correct scoring and it will do it quickly and accurately, due to the reduction of this portfolio will be easier to give us, citizens of Ukraine, those same loans, but cheaper. Indeed, under each neoteny the loan the Bank needs to reserve some amount. Their losses in any way, directly or indirectly, but extrapolate on future borrowers,” – said UBR.ua one of the speakers of the forum project Manager YouControl Eugene Dudnik.
If defaults is less, accordingly, conclude the participants of the forum, reduced rates on loans for individuals. The objective conditions for this have already been established. For example, the national Bank of Ukraine has lowered the refinancing rate, which contributes to cheaper loans for individuals.