As part of the special project “See You Tomorrow,” organized by Hromadske Radio and the Association of Ukrainian Banks, Volodymyr Dovgal, CEO of Aventus Ukraine, discussed the new rules governing the consumer lending market, interest rate caps, consumer rights, and current standards for handling delinquent debt.
According to him, the Ukrainian lending market has become significantly more transparent in recent years, and current legislation provides customers with all the necessary tools to make an informed decision even before signing a contract.
“Everyone should familiarize themselves with the loan terms before signing the contract. The customer must have every opportunity to evaluate the offers available on the market. The contract is the final step.”
He explained that current requirements oblige lenders to provide customers with complete information about the cost of the loan, the payment schedule, fees, and possible penalties.
“Before signing the contract, the customer must review the consumer loan disclosure statement. It lists all the essential terms: the loan amount, repayment schedule, interest calculation method, fees, and other important conditions,” Dovgal noted.
During the conversation, special attention was paid to the cap on the maximum daily interest rate at 1% per day. According to the director of “Aventus Ukraine,” this change has had a significant impact on both lending companies and customer behavior.
“Before the cap was introduced, the average market rate ranged from 1.8% to 2.5% per day. The reduction in the rate led to customers taking out loans for longer terms and borrowing larger amounts.”
According to him, the average consumer loan amount on the market today is about 6,000–8,000 hryvnias, although some customers may take out significantly larger amounts depending on their needs and creditworthiness.
Volodymyr Dovgal also drew attention to a common mistake made by borrowers—failing to pay sufficient attention to the terms regarding late payments.
“What people rarely pay attention to are the terms for calculating penalties in the event of late loan payments. Everyone thinks it won’t happen to them, but these are precisely the terms that should be studied very carefully.”
Separately, the CEO of “Aventus Ukraine” emphasized that today, the handling of delinquent debt follows clear rules established by the National Bank of Ukraine.
“Today, the market for handling delinquent debt is regulated; it has clear rules, and the customer is protected. Communication is limited in terms of time and the number of contacts, and psychological pressure on the customer is prohibited. All licensed market participants strictly adhere to these rules.”
During the conversation, they also discussed how to choose a reliable financial company. According to Volodymyr Dovgal, the main criterion for consumer safety is holding a license from the National Bank of Ukraine.
“All licensed financial market participants hold the appropriate license from the National Bank of Ukraine. Information about the license is publicly available on the company’s website. It is the presence of a license that provides consumers with a basic level of protection for their rights,” he emphasized.
According to the expert, microfinance companies today are increasingly aligning with banking service standards, offering clients flexible credit lines, longer loan terms, and more transparent conditions.
“Competition today is no longer driven solely by interest rates. It is important to provide customers with quality service, fast loan processing, clear terms, and the ability to get answers to any questions that arise.”
Summing up the conversation, the director of “Aventus Ukraine” urged consumers to make credit decisions in a balanced and responsible manner.
“Taking out a loan is not a step that should be taken when you’re emotional or under stress. It must be a balanced and well-considered decision. This is the foundation of responsible lending.”
The full episode of the podcast is available on the websites of Hromadske Radio and the Association of Ukrainian Banks: https://www.youtube.com/watch?v=4Zz_9b9LMEs
