Home Loan Bank has introduced a new cash loan secured by a vehicle. The bank’s press service explains that the loan amount and term are larger than those offered for unsecured cash loans, giving borrowers more flexibility and time to manage repayments.
The car-secured loan from Home Loan Bank can reach up to 5 million rubles and may be issued for as long as seven years. The advertised annual interest rate stands at 5.9%. To minimize fees, customers can opt into the Financial Protection program. For convenience, the loan is available through all banking channels, including online and offline services. It can be requested via the Home Loan mobile app, Internet banking, or any bank branch.
Initially, the car-secured loan will be available in select cities and regions: Moscow, Moscow Region, Saint Petersburg, Leningrad Region, Kazan, Republic of Tatarstan, Novosibirsk, Novosibirsk Region, Rostov, Rostov Region, and Krasnodar, Krasnodar Territory. The bank plans a rapid expansion to cover the entire country in the near future.
To apply, customers may upload a photo of the vehicle registration document (VRD) through the Home Loan app, or present it to a bank staff member. A decision is typically issued within about 30 minutes. Once approved, the customer places the vehicle in a convenient location, signs the financing agreement, and proceeds with the loan setup.
No re-registration of the vehicle or transfer of original documents to the bank is required. The primary condition is timely repayment of the loan once funds are disbursed.
The pledged vehicle must not be older than ten years at the time of loan issuance. Until the loan is fully repaid, the vehicle remains pledged to the bank. This pledge does not severely restrict everyday use; the owner may drive the car, including travel abroad. The main limitation is that the vehicle cannot be re-registered, sold, donated, or re-leased as collateral without releasing the pledge.
Irina Grigorieva, Director of the Home Loan Bank Secured Loans Department, notes that the bank is broadening its product lineup to meet customer needs. The new loan structure allows a higher loan amount and a longer repayment horizon, which should appeal to many clients seeking greater financial flexibility and opportunity. The bank emphasizes that this product aims to empower borrowers with more options while maintaining responsible lending practices in a stable market environment.