After a very dynamic increase in the value of loans granted in 2018, non-banking entities recorded a minimal drop in sales in the first quarter of this year. But in March alone it already reached 10 percent. This is the first such situation in history.
BIK reports that in March this year. non-bank companies granted fewer loans and paid less money to customers than in the same month last year. In numerical terms, the decrease was 9%, and in value – 10%.
The average loan amount, which reached PLN 2,582, increased slightly (1.2 percent). In nominal terms it is PLN 31.
Loan companies are feeling pressure to change the anti-usury act
This is the first such situation in history, with BIK data in this area dating back to April 2017. Throughout 2018, customers from the non-banking sector were in debt by PLN 7.2 billion. The dynamics amounted to +41 percent, i.e. PLN 2.1 billion.
Let us also add that not all loan companies present on the market report to BIK. 73 of them do so, including almost all the largest ones.
Less interest in non-bank loans has been seen since the beginning of this year. But here the differences are insignificant.
In the first quarter, non-banking entities paid 2.6 percent. fewer loans compared to the same period last year In value terms, the year-on-year decline was 1.4 percent.
From January to March, customers contracted 661.6 thousand non-bank loans, i.e. by nearly PLN 18 thousand less than Q1 2018. In total, they were indebted to PLN 1.7 billion. Therefore, the new debt was by PLN 24 million lower than a year ago.
– F Irma’s first loan experience problems with obtaining financing through bank loans or corporate bonds. The increase in risk aversion from those financing these entities may result, among others from the expected legislative changes regarding the non-bank loans market.
We would like to remind you that the project involves further reduction of non-interest limits on non -bank loan costs. More here.
The smallest non-bank loans are still growing
Most borrowers applied for less than 1 thous. PLN In Q1 this segment accounted for 40 percent. sales of non-bank loans and as one of two recorded an increase – by 7 percent. In terms of value, it accounted for 9 percent. sales.
The low-value loans market (up to PLN 1,000) is dominated by non-banking entities. According to BIK data, 80 percent clients interested in such financing choose loan companies . Up to 2,000 zł. The market shares of these institutions are 2/3. However, in the scale of the entire sector it is 8 percent.
Except for low-value loans in the period January – March this year. more (+3 percent) there were also contracts amounting to at least 5 thousand zł. High-value loans accounted for 41 percent. amounts paid out.
In the other four quota ranges, the dynamics was negative. The largest decrease in the number of loans granted concerned contracts in the range of 1.5-2 thousand. zł. These were over 16% less than in Q1 last year
For comparison, we add that in the period January – March, banks and credit unions granted by 2% fewer consumer loans year on year, but the ones granted were for higher amounts (+7% in value terms). In addition, these institutions issued 1/5 more credit cards than last year, and the limits granted on them were 28% higher.