Russians received help with hundreds of billions of rubles in debt.
Residents of Russia were granted alleviation from debt: lending institutions reorganized borrowings amounting to approximately 330 billion rubles, as reported by the Vedomosti publication, referencing information from the Central Bank.
This constitutes almost 2 percent of retail loan portfolios held by banks, which totaled 18.3 trillion rubles as of April 1. Since the start of the debt deferral program, citizens have filed nearly 1.5 million applications to amend the conditions of their loan contracts.
The legislation regarding loan moratoriums has been operative since the beginning of April. According to it, citizens of Russia have the right to postpone payments for a duration of up to half a year. This action was initiated as a component of the economic assistance program in response to the coronavirus crisis.
Previously, reports indicated that Russian banks might modify their lending procedures. According to specialists, financial organizations could implement limitations on brief, unsecured consumer credits, as they are unable to confirm the borrower’s financial reliability. To this point, only Credit Europe Bank has put this practice into effect: it has temporarily ceased cash loans.
