Our Market

Unsecured retail lending

Renaissance Credit focuses on unsecured retail lending and offers popular, simple and easy-to-understand products to individuals:

  • POS loans to finance purchase of goods at retail networks
  • Personal loans – cash loans for any purpose
  • Credit cards

The bank also develops retail term deposits and debit cards in order to provide the lending business with a sustainable and scalable source of funding and to enlarge the range of clients interested in different financial services and products. Furthermore, Renaissance Credit makes strong efforts to develop commission-based business lines in order to smooth macroeconomic cycles and ensure high profitability.

POS loans – high margin and the least risky segment of the credit business as well as the key source of new clients for further cross-sell. Renaissance Credit makes an active progress in this segment due to unique expertise accumulated during 17 years of operations.

Some facts (Frank RG estimates and management reporting of the bank where the source is not specified explicitly):

  • During last 4 years Renaissance Credit has been maintaining its market share above 10%.
  • At the end of 2020 Renaissance Credit ranked number 3 on the Russian market in terms of annual POS loan origination and POS credit portfolio.
  • In 2020, POS loan portfolio of the bank decreased by just 2% while the market portfolio decreased by 17%. Shrinking of the market makes competition tougher enhancing value of banks like Renaissance Credit who have a well-established position on the market.

Successful development of the bank in POS business is ensured by the following components:

  • Technologies: advanced IT-solutions which ensure (a) quick risk assessment and loan issuance for the client and (b) accuracy and convenience for the retail partners.
  • Territories and partners: the bank strives to cover all the territories where volumes and quality of the retail trade allow to conduct effective POS loan business.
  • Products: the bank is trying to be present in all segments of durable goods which have potential for the bank's credit products. The products are offered in different formats tailored to the needs of target client segments.

Personal (cash) loans ensure high revenue stream with low risk due to the focus of cross-sell to reliable clients.

Some facts:

  • During 2020 the portfolio of personal (cash) loans of the bank decreased by 26% while the market grew by 10%. In the conditions of highly volatile macroeconomic situation the bank adheres to a very conservative credit policy.
  • At the end of 2020 Renaissance Credit ranked number 21 on the Russian market in terms of annual personal (cash) loan origination and number 15 in terms of cash loan portfolio.

Credit Cards provide a new perspective for the bank to deal efficiently with modern young generation of clients. Previously this product segment was not developed by the bank thoroughly due to a pragmatic focus on the core business lines mentioned above. Renaissance Credit is making prominent progress in distant banking services development and on the other hand the bank makes intense tests and experiments to find proper credit card product shape and traits. All those activities pave the way for further solid long-term portfolio growth in this segment.

Some facts:

  • During 2020 the credit cards portfolio of the bank decreased by 34% while the market growth was 3%.
  • At the end of 2020 Renaissance Credit ranked number 17 on the Russian market in terms of credit card portfolio and number 23 in terms of credit card spend.

Retail Funding Base. Renaissance Credit considers retail funds as the key reliable and manageable source of funding under current economic conditions and makes substantial efforts to provide depositors with convenient and competitive financial products and services.

Some facts:

  • During 2020 the retail term deposit portfolio of the bank decreased by 20% due to anti-crisis reduction of credit business while the market decreased by 8%.
  • During 2020 the retail current account portfolio of the bank also decreased by 20% while the market growth was 66% (CBR estimates).

Commission products. Growth of revenues which do not require funding and risk management also allow to reduce seasonality and level out business cycles.

Some facts:

  • In 2020 the bank offered a new service on the basis of recently launched investment platform: "Stock and currency trading". At the end of 1Q2021 the number of opened broker accounts already exceeded 8000.