Building on the record month of originations in July, in August, we saw originations grow in 2 countries (Estonia and Spain). We saw another record month of originations at €2,782,475, topping July’s record of 2.28 million Euro. That’s a 21.5% increase month over month. The loan origination summary for the month of August is detailed below.
Loan origination by country
Estonia is still in the lead with a 56% share of all new originations. Spain is growing in originations at a solid 25% share of new originations while Finland is an 18% share of new originations for the month.
|Share by country – August 2016|
Loan origination by grade
We are seeing good distribution across the countries and across the loan grades too. Last month, the only country where you could get A and AA loans is Estonia, which has the most loans issued overall. A and AA are a pretty small share of 0.93% and 1.96% shares of all loans issued. That’s less than 3% combined. B grade loans are just under 9% share of all loans from Estonia and Finland.
- Estonia’s originations are primarily in the C-E grades making up 32% of all loans. Interest rates in Estonia and Finland for B-D grade loans are consistent in the mid teens to the high twenties. E and F grade loan interest in Estonia range from 31.71% up to 42.39%.
- Finland’s originations are primarily in the D-F grades making up ~13% of all loans. Rates are slightly higher in Finland for comparable grade loans compared to Estonia. The rate for B grade loans in Finland is 18.92% up to 39.64% for F grade loans (slightly higher than Estonia’s 38.10% for F grade loans).
- Spain’s originations are primarily in the higher interest grades of E, F and HR. Rates in Spain for all 3 grades are higher than the other 2 countries with rates of 36.28%, 42.39% and 63.10%. Spain has the highest amount of HR loans with a 21% share of all loans, while HR makes up a 27% share of all new loans originated in August.
|Share by country and grade – August 2016|