Isracard continues to work to expand the variety of credit sources after signing a number of agreements for guaranteed credit facilities totaling NIS 2.55 billion from various banks since the beginning of the year. Following the completion of the move, the company reduced its credit facilities from Bank Hapoalim by a significant amount of NIS 2.45 billion.
Eran Vaknin, Isracard’s CFO, said that “in light of the completion of the move to deploy a variety of funding sources in the banking system, we signed today to reduce the scope of existing credit facilities from Bank Hapoalim by a significant amount of NIS 2.5 billion. The move is perfect before the Bank of Israel requires banks to meet the limit of a single borrower even in relation to credit card companies that were exempted from the banking directive in the past. Along with reducing the volume of credit facilities from Bank Hapoalim, we have consistently increased the volume of credit facilities from other banks, so that from the beginning of the year until today we have signed agreements for guaranteed credit facilities totaling NIS 2.55 billion and at an attractive interest rate. “
“These moves to reduce the credit facilities from Bank Hapoalim, and on the other hand increase the credit facilities from other banks, allow us to diversify the sources of credit, better price all market players and thus contribute to lowering the company’s financing costs.”
Eran Vaknin (Photo: Sivan Farage)The Isracard credit card group is working to diversify its credit sources, as expressed in the signing from the beginning of the year of agreements to provide credit totaling NIS 2.55 billion from various banks, with the aim of promoting the disengagement plan from Bank Hapoalim, diversifying its funding sources and reducing current credit lines. . Isracard’s sources of credit are used by the company for its day-to-day operations in the areas of issuance, clearing and credit, as well as for the development of its growth engines, primarily credit to individuals and the business sector.
The company reported today (Tuesday) on the reduction of credit facilities taken from Bank Hapoalim in the total amount of NIS 2.45 billion, so that after the reduction of the facilities the scope of credit facilities from Bank Hapoalim will be NIS 3.2 billion, while extending the guaranteed credit facility for one year from the date of signing. Until December 31, 2021 and maintaining the terms of the credit facility.