MDM Bank has bought a portion of Russlavbank’s credit portfolio.
The transaction was planned at the beginning of 2014 and it is part of the retail business expansion strategy. As part of this transaction over 1,000 consumer loans for a total of around Rub 270 bln were purchased.
The average balance of debt under Russlavbank’s purchased credits is about Rub 235,000. As the bank points out, this acquisition will help it ramp up its clientele efficiently and rapidly, including with regard to other categories of banking services, by rolling out cross sales.
As of October 1, 2014 MDM Bank’s retail credit portfolio equaled roughly Rub 52 bln, while that of Russlavbank amounted to Rub 10.4 bln.
