Loan companies granted a total of 1,249 thousand new loans (+308.6% y/y) worth PLN 1.289 billion (+66.7% y/y) in July 2023, reported the Credit Information Bureau (BIK).
The average value of a new non-bank loan granted in July was PLN 1,417, down 39.4% y/y, it reported.
In July 2023, compared to the same period last year, low-value loans in the range up to PLN 500 recorded the highest growth rates (+733.7%) in terms of numbers and (498.3%) in terms of value. Low-value loans up to PLN 1,000 accounted for 66.8% of the total number of loans granted in July 2023. The share by value was 20.4%. Loans in the range of PLN 3,000 – 5,000 were the weakest. In numerical terms, loan companies granted more of them by (+91.6%) compared to July 2022 and in value by (+31.3%). These loans accounted for 6.2% of the number and 17.2% of the value of loans granted in July 2023, BIK announced.
July’s increases, which were so high, are in large part a consequence of the entry into force of the Act amending the laws to prevent usury, as a result of which, as of 18 May, transactions were reported by companies that started to cooperate with the BIK. At the same time, companies previously cooperating with BIK reported transactions previously unreported. In particular, the increase in the number of loans granted is due to loans granted for online purchases, the repayment of which is spread over several monthly instalments, BIK further announced.
In January-July 2023, loan companies granted 4.136 million loans (+100% y-o-y) for a total of PLN 6.686 billion (+29.5% y-o-y).
Source: BIK and ISBnews
