One of the positive side effects of the sharp drop in rates issued by the Central Bank this week it should be the reduction of the cost of private credit, paralyzed for months. THE public banks They took aim and went out to communicate a clean cut in the rates linked to loans to families and businesses; while private individuals are still “analyzing” the issue.
This Thursday, the National Bank reported that it cuts peso lending rates for people and pensioners who collect salaries in their entity in the order of 25 percentage points. In this way, the credit rate for the overall portfolio drops from 89% to 63%while for the Even pensioners are reduced from 88% per year to 63%.
During the week the organization had already moved forward with a similar decline for the agricultural sector and increased to 44% per year the cost of applying for a loan to finance the purchase of machinery for this sector.
Generally it is the public bank that comes forward to carry out this type of operation, which works as a “spearhead” for the rest of the financial system.
Still guided by another political sign, Banco Provincia also cut rates, with a strong emphasis on business financing. According to sources from the Buenos Aires entity, losses have been recorded for both since this week working capital credits such as check discounts They are between 40 and 50 percentage points.
For now, the City Bank He did not come out with a similar measure. Yes, the Buenos Aires entity had slashed rates before the announcement by the Central Bank in a line designed specifically for students.
As reported by the Municipality exactly a week ago, this is a loan for “broad destinations” which allows access to a amount up to 10 million dollars, for a period of up to 48 months and with a new one fixed rate promotional from 66% TNA.
“These loans allow the figure of the guarantor for those who do not have their own income and are integrated with specific banking services, advantages and exclusive promotions”, they explained.
The strong liquefaction of the Central Bank’s remunerated liabilities that Luis Caputo and Santiago Bausili had to face three months ago has completely changed the business of the banks which for years had stopped granting loans to the private sector to finance the Central through leliq. However, the entities said the triple-digit rates that governed the economy until Tuesday “did not allow” them to think about expanding the supply of credit to families and individuals.
One of the arguments given was that, with the fixed-term rate locked at 110% per annum, e.gThe cost of “capturing” pesos and then lending them was still high for banks. Therefore, the “liberation” of minimum rates carried out by the Central Bank this week could unblock the issue.
Tuesday morning, most of it private entities era quickly adjust your systems to reduce annual performance of placements at a ranging level between 75% and 70%. However, they took the time to inform their customers of a similar drop in lending rates. Above all, he expected to know the inflation data that the INDEC finally communicated in the order of 13.2%.
In a private institution they announced that the rate will go down “a lot”. “The drop will be in line with the reduction in the transfer fee, or perhaps higher.” In some Home banking These falls have already begun to be seen and, for example, Rates of 86% for personal loans.
The reduction in rates should also make credit cheaper for citizens fintech, which generally have a higher financial cost than traditional financial institutions. “There will definitely be an impact,” they warned on the wallet, without however specifying the new prices.
The speed of response of the financial sector at this point could be fundamental to attenuate the decline in private credit in the coming months, which has been hit hard in recent years: according to data from the consultancy firm LCG, the stock of pesos “lent” to families and businesses in banks represent just 30% of what was observed in 2018.
Source: Clarin
