ING Group offers lowest rates on consumer loans in Turkey

ING Group is leading the way in offering cheaper loans to Turkey's consumers, according to an online broker.

The Dutch bank's Turkish unit is lending at interest rates of 0.99 percent monthly, the cheapest loan cited by in an online campaign published on Friday. The interest rate applies to a cash loan, known in Turkey as ihtiyaç kredisi, of between 2,000 liras ($350) and 100,000 liras ($17,360) over as many as five years, data showed.

Turkey’s government is urging banks to reduce the cost of borrowing for consumers and businesses as it seeks to reverse an economic downturn and achieve a 5 percent economic growth goal for next year. State-run banks have led the way in lowering interest rates since a currency crisis ripped through financial markets last year.

İş Bank, one of the country's largest lenders, followed ING, offering rates of 1.15 percent monthly over five years.

Türk Ekonomi Bankası, part-owned by French bank BNP Paribas, is offering the cheapest loans over three years with interest rates of 0.98 percent on borrowing of as much as 50,000 liras.

Halkbank, a large state-run bank, is charging clients rates of 1.29 percent per month on loans of 30,000 liras over five years.