Russian Debt Collectors Name Regions with Largest Debts

Moscow and the Moscow Region are the leaders among the regions in terms of the volume of loans taken, Russian media informed.

In these regions, and most of all outstanding “bad” debts (overdue more than 90 days), were counted in the National Association of Professional Collection Agencies (NAPKA) report and in the credit bureau “Equifax”.

In third place in terms of chronic debts are residents of the Krasnodar Territory. By September 1, Muscovites had overdue payments on 874 thousand loans, and residents of the Moscow region cannot repay 657.4 thousand loans, residents of the Krasnodar Territory – 537.4 thousand outstanding loans.

In the top five with chronic debts are residents of the Sverdlovsk region and Bashkiria.

Since the beginning of the year, the largest increase in overdue debts over 90 days of debts has been recorded in Crimea (an increase of 1.5 times), Sevastopol (an increase of 1.4 times), and the Ryazan region (an increase of 1.3 times).

According to the latest data from the Central Bank, the number of overdue consumer loans (over 90 days) in August exceeds 1 trillion rubles, and the total debt for the first time exceeded 23.1 trillion rubles.

The average amount of overdue debt in 2020 increased by 29.3% to RUB 128 thousand, and in the first quarter of 2021 – by 7.5% to RUB 137.6 thousand. This is a four-year high, calculated by the National Association of Professional Collection Agencies.

Retail lending in 2020 grew by 17% to 11.3 trillion rubles. Most of all, Russians took home loans – the issuance of mortgages increased by 25% to 10.4 trillion rubles. According to the credit bureau Equifax, in 2020 the average consumer credit check grew by 41% to 253 thousand rubles.