Russian Standard Bank (russian: АО «Банк Русский Стандарт») is one of the largest
Russian banks[Russian Standard Bank]
and the country's leading consumer lender.
History
CJSC JSCB “Agrooptorgbank” was entered by the
Central Bank of the Russian Federation
The Central Bank of the Russian Federation (CBR; ), doing business as the Bank of Russia (russian: Банк России}), is the central bank of the Russian Federation. The bank was established on July 13, 1990. The predecessor of the bank can ...
in the book of state registration of credit organizations (registered) on March 31, 1993. 11 enterprises of the agro-industrial complex were the founders of the bank.
[Ежеквартальный отчёт по ценным бумагам за II квартал 2003 г. ЗАО «Банк Русский Стандарт»](_blank)
/ref> The initial purpose of the bank was to carry out settlements between enterprises of the agro-industrial complex, but due to both the general recession of the Russian economy in the early and mid-1990s and the decline of the agro-industry in particular, it lost its importance and by 1996 ceased pro-active activity.[Ежеквартальный отчёт по ценным бумагам за II квартал 2008 г. ЗАО «Банк Русский Стандарт»](_blank)
/ref> The following facts about the bank at that time are known: the receipt in December 1993 of an extended currency license, which allows (in addition to carrying out currency operations in Russia (domestic foreign exchange license)) to establish correspondent relations with six foreign banks; in July 1994, along with some other credit organizations made the announcement on the discovery of fake bank documents (guarantee letters); in 1996 the trial with the Avtoselkhozmash bank because of the latter's debt. In 1996, due to a change in legislation, changed the legal form, from ''Closed Type Joint Stock Company'' (CJSC) (in Russian "Акционерное общество закрытого типа") to ''Closed Joint Stock Company'' (in Russian "Закрытое акционерное общество").
The bank was founded in 1999 by Roustam Tariko
Roustam Tariko (russian: Рустам Тарико; born March 17, 1962) is the founder of Russian Standard Vodka. He also founded Russian Standard Bank, a credit card operation and a term life insurer in Russia. In 2009, Tariko's net worth was ...
owner of the Russian Standard Corporation Russian Standard Corporation (russian: Корпорация «Русский Стандарт») is a holding company owned by the businessman Roustam Tariko.
It holds the stock of the following companies:
* Russian Standard Company, the producer ...
, as a means of circumventing new laws which banned the advertising of alcohol in Russia. It dominates the consumer finance sector in Russia, and has over 54 percent control of the credit card market and over 30 percent control of the point of sale loan market. It is ranked among the best-profit-on-capital financial institutions in the world. The bank employs 25,000 people across its organization.[Banking]
Russian Standard Bank has a presence in more than 1,800 cities in Russia.[ Its distribution network covers 93% of the Russian population. Russian Standard Bank is also the exclusive issuer of ]American Express
American Express Company (Amex) is an American multinational corporation specialized in payment card services headquartered at 200 Vesey Street in the Battery Park City neighborhood of Lower Manhattan in New York City. The company was found ...
branded credit cards in Russia.[
Russian Standard Bank issues cards of five leading international payment systems in Russia: ]Visa
Visa most commonly refers to:
*Visa Inc., a US multinational financial and payment cards company
** Visa Debit card issued by the above company
** Visa Electron, a debit card
** Visa Plus, an interbank network
*Travel visa, a document that allows ...
, MasterCard, American Express
American Express Company (Amex) is an American multinational corporation specialized in payment card services headquartered at 200 Vesey Street in the Battery Park City neighborhood of Lower Manhattan in New York City. The company was found ...
, Diners Club International
Diners Club International (DCI), founded as Diners Club, is a charge card company owned by Discover Financial Services. Formed in 1950 by Frank X. McNamara, Ralph Schneider, Matty Simmons, and Alfred S. Bloomingdale, it was the first independent ...
, Discover Card
Discover is a credit card brand issued primarily in the United States. It was introduced by Sears in 1985. When launched, Discover did not charge an annual fee and offered a higher-than-normal credit limit, features that were disruptive to the e ...
, and acquires seven payment systems: Visa
Visa most commonly refers to:
*Visa Inc., a US multinational financial and payment cards company
** Visa Debit card issued by the above company
** Visa Electron, a debit card
** Visa Plus, an interbank network
*Travel visa, a document that allows ...
, MasterCard, American Express
American Express Company (Amex) is an American multinational corporation specialized in payment card services headquartered at 200 Vesey Street in the Battery Park City neighborhood of Lower Manhattan in New York City. The company was found ...
, Diners Club International
Diners Club International (DCI), founded as Diners Club, is a charge card company owned by Discover Financial Services. Formed in 1950 by Frank X. McNamara, Ralph Schneider, Matty Simmons, and Alfred S. Bloomingdale, it was the first independent ...
, Discover Card
Discover is a credit card brand issued primarily in the United States. It was introduced by Sears in 1985. When launched, Discover did not charge an annual fee and offered a higher-than-normal credit limit, features that were disruptive to the e ...
, China Union Pay
UnionPay (), also known as China UnionPay () or by its abbreviation, CUP or UPI internationally, is a Chinese state-owned financial services corporation headquartered in Shanghai, China. It provides bank card services and a major card scheme ...
, Japan Credit Bureau
, formerly Japan Credit Bureau, is a credit card company based in Tokyo, Japan. It is accepted at JCB merchants, and has strategic alliances with Discover Network merchants in the United States, UnionPay merchants in China, American Express m ...
and Zolotaya Korona
KoronaPay is an international payment and money transfer system that provides a range of financial consumer products. KoronaPay has an app that offers cross border card-2-card, card-2-cash, and cash-2-cash money transfers as well as a market-beati ...
.
In December 2010 Russian Standard Bank and the international payment system Diners Club International
Diners Club International (DCI), founded as Diners Club, is a charge card company owned by Discover Financial Services. Formed in 1950 by Frank X. McNamara, Ralph Schneider, Matty Simmons, and Alfred S. Bloomingdale, it was the first independent ...
have entered into an agreement for settlement transactions of the payment system in the Russian Federation. Under the Agreement, Russian Standard Bank will process settlement transactions of other banks acting as acquirers of Diners Club
A diner is a small, inexpensive restaurant found across the United States, as well as in Canada and parts of Western Europe. Diners offer a wide range of foods, mostly American cuisine, a casual atmosphere, and, characteristically, a comb ...
in the Russian Federation.
In 2013, the Bank's portfolio of card brands was enriched with a partnership with Discover Financial
Discover Financial Services is an American financial services company that owns and operates Discover Bank, which offers checking and savings accounts, personal loans, home equity loans, student loans and credit cards. It also owns and operates ...
, offering one of the most popular credit cards among American consumers – Discover card
Discover is a credit card brand issued primarily in the United States. It was introduced by Sears in 1985. When launched, Discover did not charge an annual fee and offered a higher-than-normal credit limit, features that were disruptive to the e ...
s – in Russian market.
In July 2014, Russian Standard Bank, Miles & More
Miles & More is an airline loyalty and frequent flyer program owned and operated by the Lufthansa Group.
Member airlines
The following Lufthansa Group airlines are members of the Miles & More program:
* Lufthansa (since 1993)
* Lufthansa CityLin ...
and Visa
Visa most commonly refers to:
*Visa Inc., a US multinational financial and payment cards company
** Visa Debit card issued by the above company
** Visa Electron, a debit card
** Visa Plus, an interbank network
*Travel visa, a document that allows ...
announced the signing of a long-term agreement. Within the agreement the Bank becomes a partner to promote co-branding Miles & More
Miles & More is an airline loyalty and frequent flyer program owned and operated by the Lufthansa Group.
Member airlines
The following Lufthansa Group airlines are members of the Miles & More program:
* Lufthansa (since 1993)
* Lufthansa CityLin ...
card products in Russia based on Visa
Visa most commonly refers to:
*Visa Inc., a US multinational financial and payment cards company
** Visa Debit card issued by the above company
** Visa Electron, a debit card
** Visa Plus, an interbank network
*Travel visa, a document that allows ...
payment system.
The bank defaulted on its debts in 2015.
Owners and management
As of February 16, 2009, almost 100% of the shares of the bank are controlled by "Company ''Standard Russian''" (97.172089%) and ''"Rust Inc."'' (2.826654%),[Список аффилированных лиц ЗАО «Банк Русский Стандарт» по состоянию на 16.02.09 г.](_blank)
/ref> which, in turn, is owned by Bermuda
)
, anthem = "God Save the King"
, song_type = National song
, song = " Hail to Bermuda"
, image_map =
, map_caption =
, image_map2 =
, mapsize2 =
, map_caption2 =
, subdivision_type = Sovereign state
, subdivision_name =
, e ...
''"Rust Trading Limited"'' (beneficiary
A beneficiary (also, in trust law, '' cestui que use'') in the broadest sense is a natural person or other legal entity who receives money or other benefits from a benefactor. For example, the beneficiary of a life insurance policy is the person ...
- Roustam Tariko
Roustam Tariko (russian: Рустам Тарико; born March 17, 1962) is the founder of Russian Standard Vodka. He also founded Russian Standard Bank, a credit card operation and a term life insurer in Russia. In 2009, Tariko's net worth was ...
).[Ежеквартальный отчёт за 2 квартал 2008 г.]
Банка Русский Стандарт
Chairman of the Board - Alexander Samokhvalov.
Chairman of the Board of Directors
A board of directors (commonly referred simply as the board) is an executive committee that jointly supervises the activities of an organization, which can be either a for-profit or a nonprofit organization such as a business, nonprofit organiz ...
- Roustam Tariko
Roustam Tariko (russian: Рустам Тарико; born March 17, 1962) is the founder of Russian Standard Vodka. He also founded Russian Standard Bank, a credit card operation and a term life insurer in Russia. In 2009, Tariko's net worth was ...
.
Activity
The main (priority) areas of the bank's activity are consumer lending and credit card
A credit card is a payment card issued to users (cardholders) to enable the cardholder to pay a merchant for goods and services based on the cardholder's accrued debt (i.e., promise to the card issuer to pay them for the amounts plus the o ...
issuance. The bank also deals with acquiring, Internet acquiring, attracting deposits, settlement and cash services to individuals
An individual is that which exists as a distinct entity. Individuality (or self-hood) is the state or quality of being an individual; particularly (in the case of humans) of being a person unique from other people and possessing one's own need ...
and legal entities
In law, a legal person is any person or 'thing' (less ambiguously, any legal entity) that can do the things a human person is usually able to do in law – such as enter into contracts, sue and be sued, own property, and so on. The reason for ...
, providing overdraft
An overdraft occurs when something is withdrawn in excess of what is in a current account. For financial systems, this can be funds in a bank account. For water resources, it can be groundwater in an aquifer. In these situations the account is s ...
s, renewable and non-revolving credit lines, conducting international settlements (bank guarantees and letters of credit
A letter of credit (LC), also known as a documentary credit or bankers commercial credit, or letter of undertaking (LoU), is a payment mechanism used in international trade to provide an economic guarantee from a creditworthy bank to an exp ...
), trade finance, conducting conversion operations, etc. It is the agent of insurance companies CJSC Russian Standard Insurance and LLC Banking Insurance Company.
Until December 2008, the bank was actively involved in car loans, but at the beginning of the 2008–2010 because of the financial crisis
A financial crisis is any of a broad variety of situations in which some financial assets suddenly lose a large part of their nominal value. In the 19th and early 20th centuries, many financial crises were associated with banking panics, and man ...
, it completely removed this program.[«Банк Русский Стандарт» прекратил выдачу автокредитов // finnews.ru, 10.12.08](_blank)
/ref>
Branch network, service territory
As of July 1, 2012, 193 representative offices, 9 branches (St. Petersburg
Saint Petersburg ( rus, links=no, Санкт-Петербург, a=Ru-Sankt Peterburg Leningrad Petrograd Piter.ogg, r=Sankt-Peterburg, p=ˈsankt pʲɪtʲɪrˈburk), formerly known as Petrograd (1914–1924) and later Leningrad (1924–1991), i ...
, Voronezh
Voronezh ( rus, links=no, Воро́неж, p=vɐˈronʲɪʂ}) is a city and the administrative centre of Voronezh Oblast in southwestern Russia straddling the Voronezh River, located from where it flows into the Don River. The city sits on the ...
, Rostov-on-Don
Rostov-on-Don ( rus, Ростов-на-Дону, r=Rostov-na-Donu, p=rɐˈstof nə dɐˈnu) is a port city and the administrative centre of Rostov Oblast and the Southern Federal District of Russia. It lies in the southeastern part of the East Eu ...
, Omsk
Omsk (; rus, Омск, p=omsk) is the administrative center and largest city of Omsk Oblast, Russia. It is situated in southwestern Siberia, and has a population of over 1.1 million. Omsk is the third largest city in Siberia after Novosibirsk ...
, Ufa
Ufa ( ba, Өфө , Öfö; russian: Уфа́, r=Ufá, p=ʊˈfa) is the largest city and capital of Bashkortostan, Russia. The city lies at the confluence of the Belaya and Ufa rivers, in the centre-north of Bashkortostan, on hills forming the ...
, Kazan
Kazan ( ; rus, Казань, p=kɐˈzanʲ; tt-Cyrl, Казан, ''Qazan'', IPA: ɑzan is the capital and largest city of the Republic of Tatarstan in Russia. The city lies at the confluence of the Volga and the Kazanka rivers, covering a ...
, Yekaterinburg
Yekaterinburg ( ; rus, Екатеринбург, p=jɪkətʲɪrʲɪnˈburk), alternatively romanized as Ekaterinburg and formerly known as Sverdlovsk ( rus, Свердло́вск, , svʲɪrˈdlofsk, 1924–1991), is a city and the administra ...
, Samara
Samara ( rus, Сама́ра, p=sɐˈmarə), known from 1935 to 1991 as Kuybyshev (; ), is the largest city and administrative centre of Samara Oblast. The city is located at the confluence of the Volga and the Samara (Volga), Samara rivers, with ...
, Novosibirsk
Novosibirsk (, also ; rus, Новосиби́рск, p=nəvəsʲɪˈbʲirsk, a=ru-Новосибирск.ogg) is the largest city and administrative centre of Novosibirsk Oblast and Siberian Federal District in Russia. As of the Russian Census ...
), 276 credit and cash offices (branches) were opened in Russia
Russia (, , ), or the Russian Federation, is a List of transcontinental countries, transcontinental country spanning Eastern Europe and North Asia, Northern Asia. It is the List of countries and dependencies by area, largest country in the ...
. According to the bank, at the beginning of 2009, there were about 400 ATMs for issuing cash and about 2100 ATMs with a cash-in function, cash programs were implemented in more than 1,800 locations across the country through more than 40 thousand points of sale of enterprises- partners.[Ежеквартальный отчёт по ценным бумагам за 4 квартал 2008 г. ЗАО «Банк Русский Стандарт»](_blank)
/ref>
At the end of 2008, 25 regional offices were opened in Ukraine
Ukraine ( uk, Україна, Ukraïna, ) is a country in Eastern Europe. It is the second-largest European country after Russia, which it borders to the east and northeast. Ukraine covers approximately . Prior to the ongoing Russian inv ...
.[Региональная сеть ОАО «Банк Русский Стандарт» (Украина)](_blank)
/ref> In Ukraine, the bank carried out its activities through a subsidiary of PJSC Forward Bank; until 2014 - "Russian Standard".[Отчётность ОАО «Банк Русский Стандарт» (Украина)(Общая информация о деятельности)](_blank)
/ref> Due to Russian Standard Bank owner Rustam Tariko being under Ukrainian sanctions, the National Bank of Ukraine
National Bank of Ukraine ( uk, Національний банк України) or NBU ( uk, НБУ) is the central bank of Ukraine – a government body responsible for unified state policy in the field of country's monetary circulation, includ ...
revoked the banking license and liquidated Forward Bank in March 2023. According to an investigation by the Security Service of Ukraine
The Security Service of Ukraine ( uk, Служба безпеки України, translit=Sluzhba bezpeky Ukrainy}) or SBU ( uk, СБУ, link=no) is the law enforcement authority and main intelligence and security agency of the Ukrainian ...
part of the profits of Forward Bank went to prepare and finance the 2022 Russian invasion of Ukraine
On 24 February 2022, in a major escalation of the Russo-Ukrainian War, which began in 2014. The invasion has resulted in tens of thousands of deaths on both sides. It has caused Europe's largest refugee crisis since World War II. An ...
, as well as to finance the activities of the Russian Federation
Russia (, , ), or the Russian Federation, is a List of transcontinental countries, transcontinental country spanning Eastern Europe and North Asia, Northern Asia. It is the List of countries and dependencies by area, largest country in the ...
, aimed at weakening Ukraine.
Criticism
The lecturer of the "Synergy University", A. Ishutin, pointing out that the bad reputation of the bank leads to inefficiency in attracting funds by the bank, and as an example he cited the Russian Standard Bank, whose image in the mid-2000s he described as an image of "predatory and dishonest bank".
In 2010, the Nizhny Tagil branch of the "Young Lawyers of Russia" public movement have collected the signatures for a petition to the Russian Prosecutor General's Office, the Presidential Administration of Russia
The Presidential Executive Office of Russia or the Presidential Administration of Russia ( rus, Администрация Президента Российской Федерации, Administratsiya Prezidenta Rossiyskoy Federatsii) is the ex ...
and the Federal Service for Supervision of Consumer Rights Protection. The head of the branch of the movement, Yevgeny Ryakin, noted that many people came to them with complaints about debt collection methods carried out by this bank. Ryakin gave the following example: "One woman said that she had been offered by the bank representative to sell a kidney in order to pay off the loan". Ryakin also pointed to "constant telephone calls, even at night; threatening letters; visits of collectors, etc.", which, in his estimation, in many cases "is beyond the limits of the law". In addition, Ryakin noted "repeated violations of the legislation as well as the Civil Code of the Russian Federation
The Civil Code of the Russian Federation (russian: Гражданский кодекс Российской Федерации, frequently abbreviated 'ГК РФ') is the prime source of civil code, civil law for the Russian Federation. The Russian ...
by the credit organization".
The story in which a woman took a loan from ''Russian Standard Bank'' in the amount of 45 thousand rubles, but failed to pay for it due to illness and loss of work, received considerable publicity, as a result of which the debt rose to 150 thousand rubles a few months later. In February 2013, the collectors of Russian Standard Bank offered a woman to solve the debt problem by selling her internal organs, as well as, according to A. V. Ivanov, Assistant Professor, Department of Advertising of the Russian University of Economics of Plekhanov and of the Chelyabinsk branch of the South Urals State TV and Radio Company, "they offered to sell the infant child of her sister".
Performance indicators, reporting
Moody's international rating agency confirmed the rating of Russian Standard Bank at "B2" level, but lowered its forecast from "stable" to "negative". As previously reported, a credit institution in the first half of 2014 increased its net loss by 6.9 times, to 4.8 billion against 690 million rubles loss for the first half of 2013. In this connection, the rumors actively discussed are about a possible revocation of a license from Russian Standard Bank. Also, the NTV NTV may refer to:
Television
* NTV (Bangladesh), a Bengali-language satellite television channel in Bangladesh
* NTV (India), Telugu regional channel
* NTV (Kenya)
* NTV (Mongolia), a television channel based in Mongolia
* NTV (Newport Television) ...
reported that an advertisement for the sale of a yacht
A yacht is a sailing or power vessel used for pleasure, cruising, or racing. There is no standard definition, though the term generally applies to vessels with a cabin intended for overnight use. To be termed a , as opposed to a , such a pleasu ...
owned by Rustam Tariko, a bank owner, appeared on one of the specialized yacht sales sites. Apparently, by sailing the yacht the management plans to cover some of the losses.
Russian Standard Bank became the leader in the share of overdue loans as of March 1, 2016. The share of such loans was 40%.
References
External links
*
Financial information
{{Authority control
Banks of Russia
Banks established in 1999
Companies based in Moscow
Crime in Russia
1999 establishments in Russia