In the Avito application, it became possible to use the option of purchasing on credit, which is familiar to users on most marketplaces and large online stores. The difference is that for the first time this option is available for purchases from private sellers.
The function is available to all platform users over 21 years of age with citizenship RF. The service is provided by Home Bank’s partner Home Express. In the test group, the service has already been used about four thousand times, the average bill was 11 thousand rubles.
At the moment, the maximum credit limit is 50 thousand rubles. Within the limit approved by the partner on Avito, it will be possible to make an unlimited number of purchases with Avito Delivery on credit, the minimum amount for a purchase on credit is 1,500 rubles.
Available product categories: electronics, personal items, goods for home and garden, spare parts, hobbies and recreation. In this case, the loan begins to operate only after the user checks the product at the point of issue and decides to pick it up. If the buyer refuses to purchase on the spot, the loan will be cancelled.
“Avito is actively developing fintech products in partnership with the largest market participants, taking into account the specific features of the platform: the presence of unique products, a wide audience of private sellers and buyers, and the need for a secure transaction option between them. 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 goods from private sellers and plan in the future to cover all goods, including those sold by legal entities,” says Alexander Kapustinhead of fintech products at Avito.
Four months are allotted for repayment of the loan for each purchase, the first payment must be made one month after receiving the goods. The partner will add 10 percent of the purchase amount to the price of the goods – this is all that will need to be paid on the loan for the entire time.
You can repay it directly in the Avito application, from a bank card. There, the buyer will be able to check the payment schedule; in addition, the buyer will receive notifications and SMS about the terms and amounts of payment, so that important details are not forgotten. When the loan is repaid, the limit will be restored and you can spend it again.
At the same time, only private sellers can sell on credit for now – the function is not enabled for stores and is still in development. For private sellers, sales on credit are free and are no different from regular orders – money is credited to their card immediately after the buyer picks up the order.
“This decision is the first example of large-scale consumer C2C lending in Russia. The white label integration implemented with Avito 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. Moreover, after registering a line once, a few clicks will be enough to make a purchase on credit,” noted Irina Zhimerina, Director of Partnership Business Development at Home Bank.