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The Russians took the bait

Россияне попались на крючок

A number of problems associated with the inability to pay the debts, will only grow. The debt load threatens a crisis that could bring down the banking system of the country.

In St. Petersburg the other day there was a shocking case associated with one of the brokerage firms. 30 July 47-year-old businessman burst into the office of the company OOO “BSK” and was attacked with an ax on its leaders, promises to multiply his fortune. But in the end, the merchant not only lost the invested money, but still have to remain firm. In the accident it is easy to see the classic conflict described Dostoyevsky: Raskolnikov, the pawnbroker, the axe.

In fact, this situation is a dangerous symptom that signals the disease of the whole society, which is now “debt, as in silks”, and regardless of what people’s level of welfare.

About what is happening with the banking sector in Russia, why on the market more dubious organizations and why would the Russians risk it all, still turn to them for services, told the experts “of Rosbalt”.

Dmitry Prokofiev, the economist:

Россияне попались на крючок

“A loan at usurious interest, trying to put it “in the business” and the sad consequences is, unfortunately, a trend. The decline in revenue for several years and understanding that the situation is only getting worse, will push people to do badly in the management of their own finances.

Accordingly, companies offering “solutions in the field of Finance,” all too often sell a promise to fulfill the dream of the client to invest and work, becoming a rentier. It’s no secret if I say that in the vast majority of cases, these desires are not fulfilled.

On the other hand, consumer lending is almost the only driver of economic growth in the country, and most people uses the services of credit organizations, not because he wants to radically improve their standard of living: they’re just trying to maintain the level to which more or less got used to 2014. Accordingly, the number of problems associated with the inability to repay the loan, will only grow.

And just in case — Russia is now overdue every sixth consumer loan”.

Pavel Usanov, researcher, Center for modernization studies at the European University in St. Petersburg:

Россияне попались на крючок

“I would not say that the situation that occurred in St. Petersburg, typical, but it is symptomatic that the real incomes fall for the fifth consecutive year.

Of course, the main impact is on the people with a low level of wealth over the past year the number of citizens who are below the poverty line in Russia rose by half a million people.

But among the middle class, which include our “Raskolnikov”, is also a problem: owners of small business have had to turn it and lose the old income. Accordingly, they also begin to borrow.

And to get credit for normal conditions in a safe Bank, requires a good credit history, the documents. If not, people start to use the services of penumbral banking sector — small businesses, practiced some of his schemes.

Simple tips can not be here: we need to look back on decades ago and to understand why today there is such economic situation. Then it becomes clear that the problem is not the market as such, but in the domination of the state in the banking industry. It is the most regulated sector of the economy in our country. The Central Bank literally cleared the market, has restricted the entrance of new companies tightened requirements and control. The result — there is very little new banks in the market, there is a reduction, revoked license, leaving foreign banks.

Arise monopoly: the big banks, the share of capital in the market now — as much as 60%. Competition is reduced and leads to the fact that services are becoming more expensive. And it is not even about the credits, but also about the commissions that we take with us on the exchange rates that set the big players.

Paradoxically, the stricter requirements, on the contrary creates shadow lending sector with questionable quality of service.

What to do to loans become cheaper? To attract new players, foreign capital. And it needs to integrate into the world economy and change relations with the West. Is this possible in the current political system, I can not judge”.

Sergey Nikonorov, Professor of economic faculty of Moscow state University. M. V. Lomonosov:

Россияне попались на крючок

“The debt load of the population is a real problem, but it is worded incorrectly. Need to determine the “average degree in the hospital”, considering only the average debt load of the population by regions, and “cluster” regions of Russia on socio-economic indicators. And then solve the problems on the clusters, rather than across Russia.

Somewhere in Moscow, Yamalo-Nenets and Khanty-Mansi Autonomous districts, the debt load is large, but it is not dangerous for the donor regions. But the average (in General regional terms) the debt load of residents of Tuva or Altai is a problem that should be solved in the short term.

The standard of living of the population and falling real incomes is also a concern. With that urgently need to understand, and now. I would divide 85 regions in three blocks as traffic lights: “green”, “yellow” and “red”.

For each of them to develop its internal strategy for sustainable development, then Refine it with the help of individual programs of sustainable development of the region until 2050. This program on the principle of dolls would fit in a large cluster “Green — yellow — red” which, in turn, would enter into the sustainable development Strategy of Russia to 2050″”.

Ivan Rykov, the Chairman of the Commission on financial security of the financial industry and the investment policy Trading-industrial chamber of the Russian Federation:

Россияне попались на крючок

“Unfortunately, we must admit that in recent years the market of brokerage services in Russia are increasingly embracing various trusted companies and even just scammers. The same “Ponzi scheme” today, often hiding under the names of brokerage firms.

These companies actively involve people who, not knowing how to operate the financial instruments carried on the promise of giant profits from investments. As a rule, own funds of such citizens is not, and as initial capital they take a loan from the same brokerage firms. All this is accompanied by aggressive advertising that hits that part of the population, which is usually not characterized by a high level of financial literacy.

This is very similar to the situation in the field of consumer crediting in Russia. Aggressive advertising that goes on from virtually every iron, has led to the fact that the debt load of the population has reached alarming levels. Over the past two years, the annual debt growth was of the order of 25% per year — last year it grew by nearly 2 trillion rubles. To date, about half of the citizens do not pay on their loans, forcing honest taxpayers to pay for someone else’s debts. But how long can not continue: the country is already facing a debt crisis that could bring down the banking system of Russia.

Turning to the activities of brokerage firms, you will notice that there are several reasons why the market of these services there are so many scams. First, there is clearly not enough government regulation, which could be at the initial stage to detect fraud and to close such companies, not to deal with the cheated citizens. And secondly, it is necessary to improve the financial literacy of the population, which then carries the money in a financial pyramid, we actively take loans from microfinance organizations, investing in scams.

While this does not happen, a situation similar to the one that occurred in St. Petersburg, will be repeated”.

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