The loan book of IFN Extra Finance, a non-bank financial institution, rose by 236 percent to RON 3.9 million (EUR 0.8 million) in the first quarter of 2013, due to additional demand from Romanians turned down by banks.
The company, which grants loans only in Bucharest and Ilfov County, said the spike in lending came from people with a low income or those who need additional funds to repay their loans.
Stefan Dumitru, general director of IFN Extra Finance, said amount of loans has increased six fold from the first quarter of 2011.
“We grant loans event to those people, who are not eligible to take out consumer loans from banks, due to their limited income,” said Dumitru. People seeking this kind of loan should be aware that they need to have real estate assets as collateral.
Aside from consumer loans, the company provides services for companies, including factoring.