The Central Bank has warned about the growing number of pseudoliberal


Moscow. November 17. Bank of Russia warns about the organizations offering citizens short term loans secured by property and not a pawn.

“Organizations that mimic the activities of pawnshops provide loans to individuals under security of movable and immovable property. However, they do not give out secured ticket, and often use other types of agreements, including Commission agreement, sales. Property rented by the organization, which is not a pawnshop, not subject to compulsory insurance, the borrower may refuse to return the property due to the fact that it has been already implemented”, – stated in the message of Bank of Russia.

The Central Bank recommends citizens to exercise caution before signing a contract, be sure to examine all the terms and sign a contract only with the full acceptance of all conditions. Such entities are not included in the scope of supervision of the Bank of Russia, stresses the regulator.

The Bank of Russia recalls that the pawn shop is a legal entity (commercial organization), the main activities are the provision of short loans to citizens and storage of things, and also rendering consulting and information services. In this case, the pawnshop is not entitled to carry on any business activities. The activities of pawnshops regulates the Bank of Russia.

According to the regulator, at the conclusion of loan agreements secured on a property with a pawn shop should pay attention to the following information:

– ban the pawnshop to engage in any other business activities besides providing short term loans to people collateral, store things;

– the presence of the word “pawnshop” in the official name of the organization;

– presence in the place of loan information on conditions of granting, use and repayment of consumer loans;

– a valid contract of insurance of collateral.

Execution of the loan agreement should be accompanied by issuance of a pledge ticket and contract consumer loan, consisting of individual terms (in tabular form) and the General conditions.