The Ukrainian market is flooded with leasing companies-scammers, which are collected from customers advances, but in the end not provide for the use of the vehicles or agricultural machinery, writes UBR.
Pseudo-leasing company agree with the client on the initial payment, which can sometimes reach up to 50% of the cost of equipment, but after signing the contract, it turns out that the money was paid for providing the advice, administrative fees, commissions, etc. In the end, the person is left with no money and no equipment.
The situation is complicated by the fact that even in court is very difficult to prove cheating, since the client signs the contract voluntarily. Thus, even if the person is previously acquainted with the document, scammers often simply substitute it out before making money. And to cancel the contract is often impossible, because in this case the damages can be forgotten.
And, as the Director of the Association of lessors of Ukraine Marina Masich, such unscrupulous companies are becoming more and manage them are hard to find.
“Ukrainians no longer trust the leasing companies. You need to create a separate profile organisation to detect fraud and to deal with companies that actually do not provide leasing services,” said Masich.
However, as noted by a member of the financial services Commission Alexander Zaletov, though the problems of the legislative providing of leasing still exist, the number of complaints of quality of service over the past year decreased by half, to 74. Also decreased the total number of companies — there remained little more than 200, which is 78 less than in 2015.
However, their activity increased. So, the total volume of the leasing market last year grew by 13%, to 22.6 billion UAH. “Overall, the company’s assets doubled and reached the pre-war time. On cars, for example, an increase of over 70%. The leasing remains the Foundation of our portfolio,” said Masich.
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However, not only ordinary Ukrainians suffer from fraudulent leasing firms. There are opposite cases. For example, market participants are concerned about the recent court decision, according to which the customer is allowed to return the equipment, which he leased, and the firm, in turn, obliged to return to the person previously paid money.
Company scared this precedent. If such judicial decision has become widespread, the market simply collapses, they believe. “The courts in such a decision actually blessed free use of leasing equipment,” — said Masich.
The issue of legislative regulation in the industry is very serious. The leasing Association has already prepared a number of initiatives to solve this problem. First of all, I want to address the issue of VAT, which is charged with the confiscation of equipment and, in fact, market participants bear additional tax of 20%.
The Association has already submitted to the Cabinet a bill on this subject, which was approved by the EBRD.
High profile Association with the parliamentary Committee and the market regulator also made a proposal to adopt a new law “On financial leasing”, which, according to them, would pave the way for the entry of new players, increased competition in the industry and reduced the cost of providing services. According to Masich, the bill is already in Parliament and will soon be registered.
Ukrainians are dissatisfied with not only a mess on the leasing market, but the high cost of such services.
To the already considerable overpayments for equipment added another nuance. Last year, Ukraine banned the import of cars below the environmental standard Euro-5. In fact, cars of Euro-3 and Euro-4 disappeared from the leasing market, experts state. And if the normal drivers are still somehow unable to accept this fact, carriers openly suffer.
“The carriers fleets wear out, but the transport of Euro-5 is very expensive and many can not afford. They used to take in leasing the car of Euro-3. It is clear that the technique of the Euro-5 is better in quality, and its a resource a lot more money but it is not at all”, — said General Director of “ESKA Capital” Anton dyadyura.