Welcome to our monthly blog post on the performance of recoveries. Below, we take a look at the percentage of principal and interest retrieved between 2014 – 2017.
Why is 2017 showing the lowest recovery rate?
On first glance, this may appear to show that the success of our recoveries process has slightly decreased since 2014. However, it is important to note that the latest year will almost always show the lowest recovery rate. Quite simply, this is because the loan is moving through our 3-step collection process and is not yet generating a cash flow or has only recently started generating a cash flow.
A total of €4,971,943.9 has been recovered between 2014 – 2017.
What happens when a borrower stops making repayments?
Recently, we published our our 3-step collection and recovery process which explains exactly what happens when a borrower misses their monthly loan repayment.