Beginning to study the reviews about the Bank "Finance and Credit", it is worth starting with a small background. The financial institution began its existence on June 19, 1990. Initially, the institution was officially registered by the USSR State Bank as the Ukrainian Commercial Bank for Business Cooperation. Five years later, on October 13, 1995, the institute acquired its present name and became the commercial bank “Finance and Credit”.
Activity history
The authorized capital of the bank in 2006 was equal to two billion hryvnias. In 2007, the organization acquired a new form of ownership and became a limited liability company. In July 2011, it was decided to increase the authorized capital of a financial institution by 200 million hryvnia. In 2009, the institution had the status of a joint stock company, and it was headed by Vladimir Khlyvnyuk, who was known as the leading top leader of the Ukrainian banking sector.
Throughout the long history of its existence, reviews about the Finance and Credit Bank have left a pleasant impression of the institution, since it regularly fulfilled its obligations. An excellent confirmation of this is the 2011 assessment from the Credit Rating rating agency, which assigned the institution a uaBBB investment grade level. The outlook was stable. By February 2012, the institute's assets amounted to 22,877,292 billion hryvnias.
Outstanding history and participation in world associations
Back in mid-2014, the financial institution Finance and Credit could be proud of its brilliant reputation. The partner banks supported their comrade-in-arms, as he fulfilled his obligations professionally and systematically, most importantly. Providing services to individuals and legal entities, he acted as a member of the Association of Ukrainian Banks and was a member of the Ukrainian Stock Exchange, PFTS and the Kiev Banking Union.
There was a membership in such well-known international systems as VISA International and MasterCard International, Western Union, PARD and AVERS. In terms of regulatory capital, the institution belonged to the first group of banks. The shareholders of the institute, both before and now, are Askania LLC (45.92% of the shares) and F&C Realty PJSC (41.58% of the shares). The main beneficiary is the Ukrainian businessman and MP Konstantin Valentinovich Zhevago.
The financial atmosphere in the bank
Despite the fact that the financial institution continues to work, reviews of the bank “Finance and Credit”, which are increasingly found with a negative connotation, indicate the opposite situation. In accordance with the financial indicators of the organization as of March 2015, its assets are equal to 41,470,386 hryvnias. The volume of obligations is equal to 39 183 614 hryvnias, and equity capital stopped at the figure of 2 286 773 hryvnias. Only the amount of net profit, which, in accordance with the latest information, amounted to minus 715 777 hryvnias, makes you think.
The first messengers of trouble
The first reviews of the Finance and Credit Bank, which contained information about the refusal of a financial institution to fulfill its obligations under deposit agreements, began to appear at the very beginning of 2015. Bank customers did not immediately react sharply to the situation, relying on the fact that the dollar exchange rate, which had sharply increased at that time, forced many organizations from the financial sector to reconsider their policies.
By February 2015, the number of people dissatisfied with the work of the bank increased by tens or even hundreds of times. Lonely cases turned into a systematic phenomenon. If initially people said that the bank simply delays payments on deposits for several months or offers prolongation on favorable terms, today payments are simply frozen, and employees of a financial institution say that there is no cash.
What is the complexity of the situation?
It is not a secret for anyone that many financial institutions of Ukraine have faced certain problems in connection with the economic situation in the world. Some of them officially declared bankruptcy, while others were simply deprived of their licenses. Regarding the situation under consideration, we can say that the branches of the Bank "Finance and Credit" partially closed throughout the country. The financial institution as a result of the conflict with Russia lost enough large funds due to the severance of partnerships with investors from Moscow and the Moscow region.
A large outflow of capital contributed to the situation due to panic among customers who tried to withdraw their funds from the organization as quickly as possible. At the moment, the bank, although it does not fulfill its obligations in the minimum amount, its management says that the situation will soon stabilize. And the NBU is in no hurry to send a curator to the organization, as it financially supports the institution.
Rallies and mass discontent
Bankruptcy of the bank "Finance and Credit", according to many of its customers, is just around the corner. A fairly large percentage of people say that before the start of the elimination procedure, it remains from six months to one year. The beneficiary of the institution and the Ukrainian deputy Zhevago himself openly declares that the financial institution is not experiencing any problems and there is no threat of irreversible consequences. What remains to be done by unsatisfied customers remains a mystery. People who have not seen their contributions within the deadlines set by the treaties gather and organize rallies and protests. Events are held with the involvement of the media, not only near the NBU in Kiev, but also throughout Ukraine.
Unprecedented rudeness
In addition to the fact that all the deposits of Finance and Credit Bank turned out to be frozen and inaccessible to their owners, many people talk about rudeness on the part of the organization’s employees. Systematically, there are reports that the offices cannot give an exact answer to any of the questions regarding payments. There is evidence of a superficial attitude towards people who are trying to return their legal deposits. Complete ignoring of customers is not the worst, according to numerous reviews.
Do not pass transfers
In addition to the fact that the NBU has not yet officially recognized the bankruptcy of Finance and Credit Bank and has not introduced an interim administration in it in order to resolve the situation with depositors in this way, according to customers, there are still some sins behind the institute. So, according to more than a dozen deceived citizens who leave their reviews on the Internet, the bank takes foreign currency transfers, but does not conduct them. Some customers claim that such an institution as the Finance and Credit Bank is dishonest. Money orders were issued to business partners, but for some reason the money did not reach the addressee. Moreover, they were never returned to their owner. As a result, the loss of profitable foreign partners and losses in their business.
What is happening with online banking?
As in any other large financial institution of Ukraine, the Internet bank “Finance and Credit” functioned within the LLC. Previously, it was a convenient tool for distributing financial flows of each client. The transfer of funds, payment of utility bills, tracking the status of accounts and much more was available within the project. Today, everything has changed dramatically, and positive reviews of the service have completely replaced the resentment of customers.
If you believe the many comments, the Internet Bank "Finance and Credit" today almost completely does not work. If you manage to log into your personal account, then this happens after repeated attempts. People say that today this service is absolutely useless, since all the functionalities are inoperative. Clients write that through the Internet service they are not even able to check the balance on the cards, since no information on them is reflected.
What is Zhevago talking about and how much does his word correspond to reality?
From the official speeches of Zhevago it became known that the position of the bank "Finance and Credit" is now satisfactory. He openly states that there can be no talk of problems, on the contrary, the financial institution is developing successfully. The main shareholder insists that the organization is now servicing a large number of industry flagships, which are constantly increasing their production volumes. This economic basis is becoming the impetus for future development.
The owner of the bank “Finance and Credit” openly says that the financial institution is consistently issuing deposits to its customers, taking into account the restrictions that were introduced by the NBU. It is very difficult to judge how much the information described by the deputy of Zhevago is true, since in numerous reviews customers indignantly indicate the opposite. To say more, information has leaked from some media that the deputy’s business is not going as well as he says. In accordance with Ferrexpo's audit report, bondholders received a proposal for debt restructuring. This only indicates the high probability of default of the Ukrainian oligarch.
Even refinancing does not save
There is information that partner banks refused the Institute of Finance and Credit with the appearance of the first problems. Certain difficulties arose when trying to get refinancing from the NBU. The liquidity problems that occurred between December 2014 and January 2015 were not immediately resolved. The first support from Gontareva’s department was provided only by mid-February in the amount of 700 million hryvnias. In March 2015, information was received about the next refinancing in the amount of 276 million hryvnias, and a little later - 750 million hryvnias.
Repeated capital injections did not bring the expected effect due to the large outflow of funds. The deposit portfolio, starting from the moment the first problems appeared and until the first stabilization loan from the NBU, decreased by 18.5 billion hryvnias, and by the end of June another 16.5 billion hryvnias had left the financial institution. According to the information provided by Forbes magazine, by the end of June, depositors managed to win about 400 lawsuits against the bank, in accordance with which it undertakes to pay funds to its customers.
Unexpected turn of events and summing up
Despite the fact that many of the bank's customers have court decisions in their hands, according to which the financial institution is obliged to pay debts, they still cannot receive their deposits. The problem is that the executive services refuse to take action in connection with the decision of the Kiev District Administrative Court. Recall that Judge Balaklitsky granted the petition, according to which the executive services and any of their bodies, rightholders represented by the NBU and its territorial departments, including financial institutions such as Ukreximbank, Pravex-Bank, Uksotsbank and Citibank is deprived of the right to take any action to impose and execute arrests from the accounts of the Finance and Credit Bank.
Many customers suggest that the owner of the Finance and Credit bank tries to keep him afloat by all means, including at the expense of depositors. There is information that some owners of deposits received offers, according to which they are ready to give them 50 percent of the deposit, but provided that the other half remains within the financial institution. To judge and talk about how truthful information from the media and customer reviews is problematic. It remains to monitor the situation and draw appropriate conclusions on the fact of events.