PVDENNYI Bank created an effective system of loan management. This is, first of all, forming of the lending policy and procedures, creating of a reliable mechanism for loan portfolio management and competent staff for working in this system.

Credit policy of the Bank
Credit risk reasonable assessment and close co-operation with customer-borrower are basic principles of credit policy. When determining lending foreground directions the Bank takes into consideration the ability of the subject of lending to develop stably and to compete in the market.

The priority of PIVDENNYI Bank’s activity is credit support of financially stable enterprises of real sector of economy, lending for investment projects aimed at economic development of the country.

When examining customers’ applications for loans the bank places emphasis on lending of projects on enhancement of export and import-substituting production. As the process of development of small and medium business moves forward, the bank will increase the volume of loans for this category of enterprises.

The advantage is given to competent and promising enterprises working in the market more than 2 years, fixed fast in it and using the most complex range of services rendered by the bank (cash and settlement services, collection, conversion operations etc.). In its lending policy the Bank sets the task of maximum profit obtaining with minimal risk and maximum protection of customer funds.
The loans are strictly target and are rendered on the terms of repayment, fixed term, chargeability and security.
The loans may be rendered as single payment or in the form of credit line.
As a rule, the loans must be secured by the pledge of Borrower’s property or other type of guaranties and bails, insurance accepted in banking practice, whose adequacy and reality ensures to the Bank the security of liabilities on loan and profit repayment.
Mutual credit relation between the Bank and Borrower are drawn in written form as loan agreement. The loan agreement determines rights and liabilities of the Bank and the concrete Borrower taking into consideration the type of the loan rendered, the amount and the order of loan interest payment, the type of loan security, order and terms of its repayment, financial responsibility of the parties for the failure to execute the liabilities assumed.