Car loans soar by almost 60% in Tatarstan

1,495 car loans were granted in Tatarstan in May 2022. It is 57,5% more than in April when their amount was 949, reads the data of the National Credit History Bureau.

Tatarstan ranks fourth among Russia’s 30 leading regions in the number of car loans granted in May. Moscow turned out to be a leader where citizens took out 2,202 loans last month to buy a car.

Moscow Oblast — 1,836 car loans in May — is second, Saint Petersburg (1,577) is third. Bashkiria rounds out the top 5 where citizens took out 1,290 car loans last month.

The biggest rise in the number of car loans given in May 2022 among 30 leading regions in this segment of retail lending was registered in Kaluga (+98,1%) and Tula (+91,7%) oblasts. At the same time, a total of 321 and 439 loans of this type were taken out respectively. A serious growth was also seen in Altay Krai (+73,8%), Khanty-Mansi Autonomous District (+67,6%) and Volgograd Oblast (+61,8%).

“First of all, a lower key rate of the Bank of Russia and the following reduction in market rates explains the significant rise in the loans in May compared to April. Higher demand for loans confirms this too. Compared to the previous month, citizens applied for car loans almost by a third more in May,” explained Marketing Director of the bureau Alexey Volkov.

In general according to 4,000 creditors that send data to the bureau, 29,500 loans for new cars and second-hand cars were granted in Russia in May 2022. It is 53,5% more than in April when they amounted to 19,200.

Compared to May 2021, the number of car loans granted this May decreased by 66,7% at once. According to the bureau, Russians took out 88,500 loans to buy a car in the last month of last spring.

The National Credit History Bureau says that the number of car loans in Tatarstan in Januay-April 2022 dropped by 39,9% compared to the same period last year, it was 8,2 billion rubles. At the same time, the republic finished fifth among Russia’s 30 leading regions in the number of car loans during the first four months of the year.