In recent times, the issue of considering citizens' general behavioral indicators, alongside financial discipline, in credit risk assessment has come to the fore. Particularly, the idea of restricting access to banking services for drivers who consistently violate traffic rules is a subject of discussion.
Modern.az reports that economist Natig Jafarli stated that this initiative is a completely unfounded approach.
“What is the connection between violating traffic rules and obtaining credit? These are completely different areas. In no country in the world are banking and financial relations linked to administrative offenses in this manner. Granting credit is a matter related to financial discipline and the fulfillment of obligations. The main and sole criterion for obtaining a bank loan is one's credit history. If a person's previous obligations have been met on time, there are no delays, and financial discipline is high, there is a basis for granting them credit. Conversely, for individuals with a weak credit history, the risk level increases, and banks take this into account. In many foreign countries, individuals with a good credit history are offered lower interest rates, longer repayment options, and additional concessions. That is, the distinguishing factor in the financial market is not traffic rules, but rather financial behavior.”
Economist Natig Jafarli reacted strongly to the proposal not to grant credit to drivers who violate traffic rules. He stated that there is no logical connection between a driver's discipline and banking obligations. According to the expert, banks' main criterion should be a citizen's financial history.
Stating that such an approach does not exist in global practice, Natig Jafarli emphasized that it is wrong to conflate administrative offenses with financial relations. He noted that the main criterion is how a citizen has repaid their previous debts, and this rule should be maintained in accordance with international practice.
“If the goal is to increase citizens' responsibility, separate legal mechanisms exist for this. It is not correct to mix the credit system with other areas. I believe that in our country, too, credit history should remain the main criterion in accordance with international practice,” he added. (Demokrat.az)
