The credit performance of Russian consumers reached a seven-year low last month, according to data from FICO, the predictive analytics and decision management software company, and the National Bureau of Credit Histories (NBKI), Russia’s leading credit bureau.
Source: FICO: CardData
Continuing a three-year slide, the FICO Credit Health Index fell in April to 94 points, two points lower than January 2015 and 21 points lower than the peak of 115 in January 2012. The index is the lowest since the index began in October 2008.
The FICO Credit Health Index measures Russia’s overall credit health, based on the percentage of consumer loans and credit cards reported to NBKI that are delinquent by more than 60 days. In April, 14.2 percent of Russian credit accounts were delinquent, compared with 11.5 percent in April 2014 and just 7.1 percent in January 2012. Credit cards and consumer loans saw the biggest rise in delinquencies, but delinquencies also grew for mortgages.
Every one of the eight federal regions tracked fell since the January 2015 index, and every one was lower than in April 2014. Over the last year, the Sibirskii and Yujnyi regions experienced the biggest drops, of 7 points each. In April 2015, the Severo-Kavkazskii region had the lowest index value at 87 and the regions Sibirskii (90), Dalnevostochnyi (94), Uralskii (91) and Yujnyi (90) all had indexes below 95.
FICO and NBKI share this data with Russian lenders to improve their understanding of the credit market, and help them extend credit to consumers safely and profitably. More than half of the top Russian banks use FICO® Scores delivered by NBKI.
For data, background and forecasts on Russia Payments: Search CardWeb.com’s CardFlash® Library of more than 58,000 archived articles; Access CardWeb.com’s CardData® for current and historical Performance, Portfolios, Profiles, etc. Visit RAM Research® (ramresearch.com) for quarterly and annual forecasts covering more than 150 metrics. [complimentary or deeply discounted access to CardWeb.com subscribers].
Additional database resources include CardWeb.com’s CardExecs® – comings & goings of payments movers & shakers; CardWeb.com’s CardWatch® – ears & eyes on marketing globally (57K items); and CardWeb.com’s CardPixes® – form & function of card design (7K items).