About 84 % of Russians do not know about the effective interest rate
14 February 2008Majority of Russians (about 84 %) do not know what the effective interest rate is and what kinds of payments enter in its calculation. Such information has been shown by results of the research, lead by National agency of financial researches.
Precisely 3 % of Russians know about the payments included into the effective interest rate (EIR). Thus any of 1,6 thousand participants of interrogation could not name all of 10 items included into the EIR.
Earlier results carried out by similar research have shown that almost half - 48 % of Russians - in general know nothing about introduction of the obligatory requirement of the Central Bank about disclosing effective interest rates.
Among the Russians, knowing about the requirement, 48 % have not changed the attitude to credits, 40 % have improved it.
The effective interest rate is a rate under the credits, including expenses for its service: the bank commissions, the insurance. The obligatory requirement of the Central Bank about disclosing by banks of effective interest rates under credits has come into force since July, 1st, 2007.
