How does the investor to choose a reliable bank

As reporting banks on the NBU website can help the investor to choose a reliable bank, and not the problem.

Ukrainian bankers announced the results of the previous year. If you compare the latest figures with those obtained in 2010, shows that the situation has improved. For example, assets (ownership of banks) rose by 12.4% - to 1.59 trillion USD, while in 2010 - only 8.8%. A loss of 175-T Bank fell nearly doubled - to 7.71 billion USD. Moreover, such a figure is mainly due to the negative results of "Ukrgasbank" (3.6 billion USD) and "UkrSibbank" (3.7 billion USD). That is, they had more to spend on all the reserves for credit risks.
All these dry figures can "come to life", if you learn how to understand them. Therefore, we have read reports of banks on the site of the NBU and find out what she can tell the investor. After all, it is more important to be able to assess the reliability of the bank. The fact that recently he would seek from the National Bank ban on early withdrawal of deposits declared Ukrainian Credit-Banking Union. And if he will enter, will have to choose a bank that did not go bankrupt at least until the end of your contribution.
Financial indicators: quality versus quantity
Data collection. To test the reliability of the bank look at its financial performance. By comparing its profit, the amount of assets and deposits at January 1, 2012 and on January 1 last year. "Stable growth in assets and profitability positively characterize the bank, - the head of the department of development of retail business FUIB Maxim Mironenko. - But is not only important asset size, but also their quality. "
Anatomy of assets. The most "quality" (liquid) assets are considered the bank's money in his accounts and in hand, plus government securities. They can be exchanged at any time for cash payments to depositors. Than the bank's more, the better it will be easier to get back invested savings. Thus, according to Maxim Mironenko, if the asset structure is very much occupied loans and the total amount is much higher than the amount of own resources and of deposits - a sign of the low stability of the bank.
His pocket. And is an important indicator of its equity. What it is, the larger the bank, and the greater the risk he is willing to accept. "The large size of the Bank's equity shows the financial strength of the bank and the owners of intent to develop a financial institution, - the director of the Department of Finance" Nadra Bank "Konstantin Serdunich. - Increase of the capital said the bank plans to expand its operations and add stability. Decrease in the need to consider on a case by case basis. Usually a slight decrease should not cause concern: it may be due to time constraints. But the sharp decline in mean significant problems in the bank. "
Monetary equilibrium. However, according to Konstantin Serdunicha, properly considered equity ratio compared to assets and liabilities. Since one and the same level of equity capital for banks with assets of 3 billion USD and 10 billion USD will have a different value. "For an accurate assessment of the reliability of the bank's main indicator is balance - emphasizes the expert. - A large amount of assets reflects the effective activity of the institution, but the increase in the assets to be supported by an increase in capital and the growth of the deposit base. This shows the confidence of investors, customers, and reliability "(see" A new test of reliability ").
Fleeing customers. You should be alerted a sharp decrease in the volume of loans and deposits (10%). Usually it means a reduction in the confidence of depositors and investors. But if the loss is insignificant, it could serve as a reason for folding the next campaign. The fact is that, according to bankers, investors rarely do deep analysis of deposit offers. Usually, they choose one of those options, which are heard in the ad.
Cards. If you are going to open a deposit account with the bank is not as common (current), look how much he (or the network to which it belongs) ATMs. Of their number in your town depends on how quickly you can withdraw their money from the account without a fee. It is advisable to make sure all ATMs were near home and work. It is also important how many active holders of "plastic" from your bank. The more, the more experience he has in this market, and the sooner your problems will be solved with the card.
Important! Find the results of all the banks on the site of the National Bank www.bank.gov.ua. Section "Banking Supervision", the heading "Financial statement of Ukraine." The information is updated quarterly.

Additional labels

Financial performance of the bank - not the only criterion for its reliability. Therefore it is advisable to collect other information.
The fired wolves. Find out how the bank survived the crisis of 2008. Enter the name of the bank in the search engine and see whether there is in it a temporary administration. If not, the reviews on the forums ask investors if there was any interruption in the payment of deposits. Check how "open" the bank - he regularly reports its performance.
Spenders. Compare Deals on deposit rates with the average for the market. If they are "at the peak", which means the bank in dire need of money. This may indicate impending problems.
Protected. Find out who is behind the bank. If you look at what banks have resisted in times of crisis, it appears that these are banks with state or foreign capital and owned by large financial and industrial groups, neither one of them is not in the list of problem. Important financial institutions and reputation management.
Insured. By law, all banks (except the "Savings Bank", in which deposits are guaranteed by the state) are parties to the Deposit Guarantee Fund. However, according to Oleg Lutsenko, membership in the Fund does not mean reliability of the bank. But it ensures that if the bank goes bankrupt party, its depositors receive compensation (150 UAH per person). In addition, for non-payment of contributions, failure to standards of the National Bank, the deterioration of the financial condition of the bank and other faults can become a temporary member of the Fund. This means that from now on all deposits in the bank, the Fund is not guaranteed. Know whether your chosen bank member of the Fund can be on his website or www.fg.org.ua hotline 0-800-308-108-0.
Priced. You can check and the bank's rating. Sites such as rating agencies. International agencies: www.moodys.ru, www.fitchratings.ru, www.standardandpoors.ru, Ukrainian: www.credit-rating.com.ua. But, experts say, the ratings of banks depend on the rating of the country, so do not always show the situation objectively.
The new criterion
To properly assess the financial performance of the bank, we can calculate its liquidity. They do not mean just the ability of the bank to make payments to customers, and their ability to make it on time. These indicators include regulations of the NBU. By the way, in February, the regulator announced that from 01.01.2013, he will introduce a new reliability index of banks. This standard (NC-1) will be calculated as the ratio of regulatory capital to the bank's liabilities (NC-1 = capital: liabilities x 100%). "At the moment, the National Bank and commercial banks use the rate of H3, which is calculated as the ratio of regulatory capital to total assets (NC = capital: assets x 100%) - explained Konstantin Serdunich. - Innovations complement the existing standard. It shows how much of its obligations to creditors and depositors of the bank can be covered by own funds.
Particularly important is the figure for those who are going to entrust their funds to banks, because, above all, designed to protect their interests. The fall of this indicator is below 10% threatens the stability of financial institutions and can lead to non-deposit. " As explained by the chairman of the Astra Bank Oleg Lutsenko, the value of the norm for a particular NC bank can be found in its quarterly financial report in the "Performance of the bank." Financial statements, all banks are required to publish on your site and post on the bulletin board in the offices.
Cautious or surrender. According to Constantine Serdunicha, this requirement NBU force banks to increase their net worth. And those who are not able to do so, will be absorbed or stronger, or are forced to look for opportunities to merge. In general, experts believe that such a regulator's decision to reduce risks and add stability of the banking system. And according to the head of the operational and market risks FUIB Anton Butovo, the introduction of such a standard would force banks to recruit fewer loans. Accordingly, the reliability of banks will increase. Indeed, in 2008, the year of the crisis most affected is the banks, which in hindsight gained too much foreign currency loans and as a result were not able to pay for them, when the currency collapsed.