On 16 August 2010, Raiffeisenbank launched a new car loan programme with lower interest rates. When providing one-year loans the Bank lends at rates unique on the Russian market.
When taking out a one-year loan with a downpayment of 40% of a new car’s cost, the interest rate is 7.5% annual in roubles, if the agreement includes life and health insurance for the borrower. Clients can also use the programme without life and health insurance; in this case the annual interest rate is 9.5% annual.
The lower interest rates also apply to one-year loans for the purchase of used cars, with a downpayment of 40% and an interest rate of 9.5% annual in roubles, if the borrows agrees to take life and health insurance (11.5% if the buyer declines). One major advantage of the programme is that Bank does not require the prolongation of CASCO insurance for loans in the second and subsequent years.
«Lowering the interest rate to 7.5% annual is revolutionary on the car lending market. The programme was successfully launched in St. Petersburg; client interest was strong, as a result of which we decided to offer the product in all Russian regions where the bank is present,» noted Andrey Stepanenko, a Member of the Board, Head of Retail Private Individuals Directorate.
When purchasing a new car using a loan of up to 1 500 000 roubles, all clients need do is fill in a form and show their passports any one of three documents: driver’s license, overseas passport or military ID card).
Full information on the terms of all Raiffeisenbank car loan programmes can be found at the Bank’s site in the «Car loans» section.
ZAO Raiffeisenbank is a subsidiary of Raiffeisen International Bank-Holding AG. Raiffeisenbank is ranking 9th in terms of assets among the Russian banks based on H1 2010 results (Interfax-CEA). According to Interfax-CEA, ZAO Raiffeisenbank ranked 6th in Russia in terms of private deposits and 9th in consumer lending in Russia based on H1 2010 results.
Raiffeisen International operates one of the largest banking networks in CEE, covering 17 markets across the region through subsidiary banks, leasing companies and a range of other financial service providers. The group’s nearly 56,000 employees service around 15 million customers via more than 3,000 business outlets. Raiffeisen International is a fully-consolidated subsidiary of Raiffeisen Zentralbank Oesterreich AG (RZB), which owns 72.8 per cent of the common stock. The remainder is in free float, with the shares listed on the Vienna Stock Exchange. RZB is a leading corporate and investment bank in Austria and the central institution of the Austrian Raiffeisen Banking Group, the country’s largest banking group.