Mortgage: why the interest rate of Sberbank in Europe is so low. Why is the standard of living in the USA and Europe higher than in Russia? Lower than in Europe and
You probably guessed that Russia has one of the lowest levels of the minimum wage. Now it is 11,280 rubles. Do you think there are countries in Europe where the minimum wage is lower? Let's take a look at the salary level in European countries together.
Let's agree that we consider the level of wages, so to speak, "by hand", i.e. net of taxes.
So, from January 1, 2019, the federal value of the minimum wage in Russia is 11,280 rubles. Of course, for different regions of the Russian Federation, it may differ (but for us this is not so important now). Subtracting the standard income tax 13% of the minimum wage, we get the amount of 9813.6 rubles - this is how much an employee in Russia can receive after working fully for one month.
These are 135.89 € and 151.37 $.
European countries with the highest minimum wages (even after taxes)
Switzerland is the leader in terms of the minimum wage. Here, work for a month, you will be paid a minimum of 2709 €. This is 195,605 rubles.
This is followed by several dwarf states with gigantic minimum wages: Luxembourg - € 1,738 (RUB 125,493), Monaco - € 1,695 (RUB 122,388.54) and San Marino - € 1,583 (RUB 114,301.51).
We will not list all the countries already, mainly the highest salaries are concentrated in Western Europe and also in Greece. In the latter, after deducting all taxes, the minimum wage is 637 € (45,995 rubles), and only slightly less in Portugal - (44,984.10 €).
Countries with an average minimum wage (still much higher than in Russia)
The highest position is occupied by Estonia - 516 € (37,258.10 rubles).
Most of the countries of the former communist bloc of Europe are evenly distributed between these two countries: Lithuania, Latvia, Poland, Czech Republic, Croatia and so on. The lowest salaries in the former Yugoslavia - all of them are included in the block of low salaries together with Russia (about them below).
Countries with salaries near Russia and below
Southern Europe has the most low level salaries - in Macedonia: only 203 € remains for a person after taxes (14 657 rubles). All the countries of the former Yugoslavia have similar figures, with the exception of Croatia, which remained one level higher. To this we add Bulgaria - the same low level.
Well, what: living in Russia is no longer so disgusting? Someone's life is clearly worse.
Surely many have heard that the largest bank in our country offers lower interest rates outside the Russian Federation. For example, in the Czech Republic, Sberbank offers to arrange a loan at 3 percent per annum, while in Russia interest rate ranges from 13 percent and above. Not surprisingly, this news caused a huge wave of indignation among Russians. As a result, the heads of Sberbank had to explain why this is happening. Arguments on this matter were brought by the first deputy chairman of the board of Sberbank Lev Khasis.
How Sberbank explains the difference in rates
Sberbank has its own pages on social networks and channels on various Internet platforms. Any important news that concerns the largest bank our country, almost never go unnoticed. The news did not go unnoticed that Sberbank offers enough profitable terms lending to citizens of European countries. A citizen of the Czech Republic or, for example, Croatia can get a loan at an interest rate 4-5 times lower than a citizen of the Russian Federation.Here is how Sberbank commented on this situation.
Firstly, not exactly Sberbank operates in these countries. That is, Sberbank CZ operates in the same Czech Republic, which differs from Sberbank of Russia. And these two structures work in different countries with different economies. Secondly, in our countries different level inflation. If in the same Czech Republic inflation over the past few years amounted to 1.5 percent, then in Russia it averaged 7.2 percent over the past 5 years. And since the key rate is tied at the inflation rate, in the Czech Republic it is much lower and amounts to 1.75 percent, while in Russia the key rate is 7.25 percent. Those. almost 4 times higher.Sberbank also gives an example that in fact there is not much difference. After all, a mortgage in the Czech Republic can be taken at 3.3 percent, while in Russia the interest rate starts at 7.6 percent. That is, the difference is slightly more than 2 times. Another important argument of Sberbank is that the income on deposits in Russia is higher. If in the Czech Republic you can earn only 1.8 percent a year on a deposit, in Russia the rate on deposits is 6.3 percent. And the last thing that Sberbank draws attention to is that if the Russian economy is stable, as in the Czech Republic, then the rates will be exactly the same.
Did Sberbank say everything?
On the one hand, it is quite convincing. But all the same, Sberbank does not finish talking. Everyone knows perfectly well that Sberbank enjoys a dominant position on Russian market... And due to this, the bank receives a fairly large profit. Most people keep their cash in Sberbank, and their salary cards are quite popular. Thus, nothing prevents Sberbank from lowering loan rates and making them more affordable for our citizens.For example, if you reduce the interest rate by at least 1.5 times, then it will already be much easier. Yes, Sberbank's profit will be lower, but the profit will still be significant. Let's take the official numbers as an example. For 2018, the net profit of Sberbank amounted to 831 billion rubles. A interest income on loans about 2 trillion rubles. From the calculation, it turns out that the average interest rate is 10.5 percent.If the interest rate is reduced to at least 7 percent, then the interest income will decrease to 1.3 trillion rubles, i.e. by about 700 billion rubles. But Sberbank will still be in profit, only the amount of profit will amount to 131 billion rubles. The question arises, why does Sberbank need such super profits?
But, apparently, due to the fact that more than 45 percent of Sberbank's shares are generally owned by non-residents of the Russian Federation, it can be concluded that the main shareholders set themselves the goal of obtaining more money... Moreover, it is difficult to imagine what amounts are flowing out of the Russian Federation. And the citizens are left to take loans at the interest rates that are offered. In Russia, Sberbank is of great importance, especially in small towns and villages, and in Europe it is an ordinary bank that must fight for its place in the banking services market.
New statistics on the level of income in the EU countries have caused a discussion in the European media on the topic "where in Europe to live well." After all, the cost of living and purchasing power vary greatly across the continent. According to data published by the German Federal Bureau of Statistics, living in France, Italy and the Benelux countries, not to mention the super-expensive Denmark, will cost more for the wallet than in Germany. If we take the average cost of living index in the European Union as 100%, then in Germany it will be higher by only 4.3%. At the same time, in Denmark it will exceed the average mark by 37.9%, in Ireland by 27.3%, in Luxembourg by 26.6%, Finland - by 22.5%, Sweden - by 18.5%. On the other hand, in the countries of "new Europe" - Poland and the Czech Republic - salaries are much lower, but people pay less for food, housing and electricity. The cheapest is in Bulgaria - a consumer basket here will cost almost half the average European level, but the quality of life is much lower. The cost of living is especially high outside the European Union: in Iceland - 56% higher than the average European level, in Switzerland - by 52%, Norway - by 48%. Turkey looks extremely cheap - 57% below the European average. According to the international database Numbeo, which takes the cost of living in New York as 100%, only Switzerland, Iceland and Norway exceed this level of cost in Europe. In Germany, the corresponding figure is 74.35%, France - 83.86%, Great Britain - 75.85%, Italy - 79%, Spain - about 62%, Czech Republic - 50%, Poland - 45% and Hungary - 48.6 %.
According to the international recruiting agency Glassdoor, which carried out an assessment on the basis of purchasing power (the difference in income and expenses), among European countries on the labor market, Switzerland is the most attractive, significantly ahead of Germany and Denmark. The average annual salary in Switzerland is 72 thousand euros, which is 1.7 times higher than in the United States, where it is 41 thousand euros, and seven times higher than in Greece, where it does not exceed 10-12 thousand euros. At the same time, do not forget the high cost of living in Switzerland: Geneva and Zurich are much more expensive than New York, which is included in the list of the most expensive cities in the world. Food in Switzerland is also traditionally more expensive than in Germany, and the Swiss regularly take shopping tours to German supermarkets. As for France, this country, according to the French economic publication Les Echos, does not look very attractive compared to its European neighbors. Although the cost of living in France is cheaper than in the ultra-expensive Great Britain, Denmark or Ireland, and life in Paris is also 35% cheaper than in New York, low salaries spoil everything. The average Frenchman receives a gross € 36,000 a year - slightly less than in Germany, but with a more expensive consumer basket. In Germany, citizens receive much more goods and services for their money than residents of neighboring countries of "old" Europe (France, Italy, Benelux). At the bottom of the salary ranking are Estonia - 1 thousand euros per month, Greece - 900, Czech Republic - 870, Poland - 750, Lithuania, Hungary and Latvia - 650-690, Bulgaria - 420. It should be noted that all data on salaries are given gross , without deduction of taxes, insurance and social contributions which countries Western Europe can reach up to 50% and sometimes even exceed this level.
In addition to the ratio of income and expenses, there are other factors that determine the quality of life. These are climate, ecology, level of education and culture, friendliness of local residents, integration prospects for foreigners. It is difficult to name the cheerful atmosphere in Switzerland, Denmark or Norway, and the climate in the UK is not very pleasant. It is not for nothing that Spain leads the list of European countries in terms of attractiveness for life, except for one - low wages. At the same time, Vienna is recognized as the "best city in the world" according to the estimates of most rating agencies, where German order, Italian fun, cultural diversity and the beauty of the surrounding nature are combined - at quite decent salaries.
The conclusion of most observers: there are no ideal countries in Europe, but according to the sum of points, the American agency Glassdoor brought out the following rating:
1. Switzerland ranks first. Despite the monstrous high cost, it has one of the highest salaries in the world (72 thousand euros per year). The purchasing power of the Swiss is twice that of New Yorkers.
2. Denmark is in second place. Despite the high cost, the average annual salary of 55 thousand euros allows maintaining high purchasing power.
3. Third place goes to Germany. Despite the salary comparable to France, prices are lower here and, accordingly, purchasing power is higher. Rental housing in Berlin and other cities is much cheaper than in Paris.
4. Sweden ranks fourth. Although the average salary of 40 thousand euros is lower here than in Norway, the cost of housing is also much lower and the quality of life in general is higher.
5. The Netherlands is quite highly quoted, where an annual salary of 45 thousand euros is well combined with a low cost of living and good purchasing power.
6. In Finland, salaries are comparable to Western European ones, but the cost of living is much cheaper than the UK or Norway.
7. Norway is a super-expensive country, and even a high salary of 60 thousand euros does not allow you to feel in a “consumer's paradise”. Oslo is the fourth most expensive city in Europe after Zurich, Geneva and London.
8. Ireland provides a good quality of life, but an annual salary of 50 thousand euros may not be enough given the rapidly rising cost.
9. Austria, with salaries comparable to the UK, maintains moderate housing prices and a consumer basket. In terms of quality of life, this is one of the preferred options, and Vienna is recognized as the best city in the world.
10. Closes the top ten best countries Great Britain. Salaries are higher here than in France, but the cost of living is also much higher. Renting an apartment or a hotel room in London will be a burden for any wallet.
12. Belgium, despite a decent salary of 41 thousand euros, lags behind in attractiveness due to high housing prices.
13. Spain is attractive in every way - except for the level of salaries. Nevertheless, the country is ahead of Italy in the European rating of “attractiveness”.
14. Italy also has low wages and relatively high prices. However, in last years the situation is improving, renting apartments in Rome is becoming affordable.
15. Portugal is at the bottom of the table: it has very low wages (15,500 euros per year), the country suffers from austerity measures. However, the cost of living and renting apartments are affordable for foreigners who have come not to work, but to rest.
InoSMI materials contain assessments exclusively of foreign mass media and do not reflect the position of the InoSMI editorial board.
TOLK's editors tried to figure out why Sberbank in European countries issues mortgages at 3%.
Many residents of Russia on the Internet have seen photographs showing branches of European banks on which it is written about consumer loans from 5 to 7% per annum or mortgage from 1.5 to 2% per annum.
However, the real anger appears among citizens when they see familiar Sberbank branches in some European country where the rate is the same 3%. And here, of course, the question arises, which, if expressed culturally, will sound like this:
"Why then did I take out a mortgage at 11, 13, 15% per annum?"
The editorial staff of TOLK is also very interested in this issue. Read about why in Europe and the USA it takes from three to ten years to pay off a mortgage, and in Russia from 10 to 30, and why there is such a big difference in percentage, read in our material.
How many loans have Sberbank issued in the Altai Territory?
Deputy Manager of the Altai Branch PJSC Sberbank Maxim Baukov told TOLK that in 2018 in the Altai Territory Sberbank issued 13.1 thousand loans in the amount of 16.6 billion rubles. For comparison, in 2017, about 9.5 thousand loans were issued, total amount which totaled 11.3 billion rubles.
“We associate this with the high technology of our services: the processing procedures have been simplified, fewer documents are required and a minimum of actions in order to obtain a loan, the decision on which is made in a maximum of three days, but, as a rule, one is enough. electronic services allow you to reduce financial costs - for example, when applying for a loan online, "- said Baukov.
Minimum interest rate in Russia
- Today, the minimum possible mortgage rate is 6% per annum. Such loans are issued under the program state support families with children born since 2018.
- Objects for which the developer is ready to participate in subsidizing the interest rate can be purchased with a rate of 8.5% or more.
- Minimum bet for finished housing - 10.2%. It is available for young families who receive wages to the Sberbank card, chose their object on the DomClick portal and used the electronic registration service.
- Also, from this year, there is a discount in case of registration mortgage loan with big down payment: if it is more than 20% of the cost of housing, then the rate will be lower.
Current mortgage interest rate in other countries:
- USA - from 2.5 to 7%
- Bulgaria - 4.5 to 5%
- Cyprus - from 4%
- Finland - 1.4%
- Czech Republic - 2%
- Sweden - 1.85%
- Estonia - 2 to 2.5%
- Poland - from 3.7 to 4%
- Netherlands - 2.5%
- Denmark - 2.2%
Despite the ability to pay off mortgages quickly, people generally arrange them for a long term - from 10 to 30 years. Payments under these conditions become very comfortable.
Why does Sberbank have similar interest rates there?
Many are sure that if the interest rate on mortgages in Sberbank in Russia were, for example, as in the Czech Republic, where it is 2.26% per annum, then lending would become affordable and this would help Russian economy... The answer is hidden in financial system a separate state. Sberbank branches abroad are included in the regulatory zone of the country in which they operate. They are not under the control of the Central Bank of Russia.
The activities of Sberbank of Russia, for example, in the Czech Republic are controlled by the European Central Bank. He has a branch of our bank and borrows money at the rate of the European regulator. The rate at the ECB is now 0.00%, the rate of the Central Bank of the Russian Federation is 7.75%. After the meeting, which will be held on February 8, it will change.
What is the interest rate made up of?
Any key rate of the ECB commercial Bank adds the cost of conducting its activities in the country, taking into account the level of inflation, which in the euro area is approximately 1%. By the way, during the year the inflation rate, as well as the key rate the main bank may be negative. In Russia, the official inflation rate is 4-4.5%, although many economists question this figure.
Thus, we can come to the conclusion that European banks include in the cost of the loan only the costs of their work.
Who is to blame for the high stakes in Russia?
Many will say it's about politics The central bank Russia, which, with an official inflation rate of 4.5%, constantly raises the interest rate, but this is not entirely true. The main role is played by the course national currency... The indicators of the stability of the ruble on the stock exchange, the level of income of citizens and the pace of economic development are also taken into account.
According to experts, Russian banks do not have enough funds to set the same interest rate on mortgages as in European countries. As much as they want it, they do not have such an opportunity yet.
Russian banks in Russia risk more
The rates are higher than in Europe, the USA, Japan, etc., due to lower and volatile incomes of the population, which are due to the devaluation of the ruble. Also, due to some of the world's highest macroeconomic and operational risks, Russian banks use high rate as insurance against possible losses.
Russian banks abroad risk less
Branches Russian bank in European countries receive resources to ensure their activities from the regulator of the country where they are located and carry out their activities. The currency in European countries is more stable and stable, which cannot be said about the ruble. Obtaining resources in another country allows you to issue comfortable loans to local residents.
Maybe take a mortgage over the hill?
If you receive a salary in rubles, then you can wish good luck. Perhaps many of you have heard of people in Russia who, having foreign exchange mortgages, found themselves in a terrible situation when, after the annexation of Crimea to Russia, the exchange rate of the dollar and the euro began to grow at an accelerated pace.
If your salary is in dollars or another currency, then the option can be considered acceptable.
Why doesn't Sberbank take resources from the Central Bank of a European country at 0.00 or 0.5% and start lending to Russians at a lower interest rate?
The main headache in foreign exchange risks that the bank needs to take into account. Since it borrows in foreign currency, then it will be necessary to give back in foreign currency. In relations with the inhabitants of Russia, this carries double risks and is ineffective.
It is also about Sberbank itself, which has been under the sanctions of the EU countries and the United States since August 2014. There is no point in doubling the risk, because it is not known how long he will be able to continue his activities in Europe.
What to do?
More often than not, experts say that it is better not to take out a loan at all. For example, if we are talking about buying household appliances, then it is easier to borrow from relatives or friends. However, few have such opportunities, so you have to carefully select the most favorable conditions from those that are offered.
The advice is the same with mortgages. There is no reason to hope for a sharp cut in the rate; most likely, it will continue to rise.
Businesses have the ability to subsidize the interest rate, which often helps many entrepreneurs, but it makes no sense to compare the comfort level with European businessmen.
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