Loan after verification: Avito has launched the ability to purchase goods on credit

As the publication reported RIA News with reference to representatives of the platform, Avito users will have the opportunity to buy goods on credit from January 25.

“The option is valid for the purchase of goods worth up to 50 thousand rubles from private sellers… the minimum amount for purchase on credit is 1,500 rubles,” the message says.

Representatives of the platform also noted that the loan will begin to operate after checking the goods at the point of issue. If the buyer decides not to purchase, the loan will be cancelled. The final overpayment for the purchase will be 10% of its cost.

“Avito is actively developing fintech products in partnership with the largest market participants. The ability to make a transaction with a private person using credit funds is new to the market and will allow our customers to immediately purchase the desired product with a deferred first payment, without fear that someone else will buy it. In this case, sellers will receive funds regardless of how the transaction was completed: with borrowed funds or not. We are starting to scale the product to cover goods from private sellers and plan in the future to cover all goods, including those sold by legal entities,” said Alexander Kapustin, head of the company’s fintech products.

The function will be available to users over 21 years of age with Russian citizenship, the company said. The list of product categories available for purchase included electronics, personal items, goods for the home and garden, spare parts, hobbies and recreation. It is clarified that payment will take place in the platform application itself, where the buyer will be able to check payment schedules and notifications about payment details.

From the message it follows that Home Bank has become a partner of the platform for the service. Bank representatives emphasized that applying for a loan does not require a down payment on the loan, and the first payment will be scheduled a month after receiving the goods. The loan repayment period is four months from the date of receipt.

“This decision is the first example of large-scale consumer C2C lending in Russia. The implemented integration allows you to apply for a loan and pay payments within the partner’s website and mobile application, which makes the process as user-friendly as possible,” summed up Irina Zhimerina, director of partner business development at Home Bank.