Performance of recovery process – July 2017

KEY TAKEAWAYS

bondora-recovery-rate-july-2017

  • Finland experienced a mild increase in past year average recovery performance moving up to 47% from 45% last month.
  • Other performance changes were mostly mild with the average across all countries dropping to 49% from 52%.
  • Slovakia saw the largest drop in performance dipping down to 57% from 75% as seen in last month’s measurement.
  • The larger trend remains positive. Total average recoveries for 2016 to date of 49% still hover above those of 2014 and 2015.

PRINCIPAL RECOVERY RATES ACROSS MARKETS

Estonia, Finland and Spain all continue to exhibit relatively stable recoveries as seen by their low standard deviation since Q1 of 2015. For example, the total 2016 averages for each country have not moved more than 6 percentage points since last month. Moreover, for 2017 the total past year averages for Estonia, Finland and Spain have not dropped more than 3 percentage points. The one exception to this characteristic is Slovakia with a drop of 18 percentage points. Higher recovery fluctuations  for Slovakia mostly stem from the fact that the total recovery transaction amounts are significantly smaller and thus changes have greater effect on the recovery rates. However, it’s still possible that the 2015 to 2016 increasing trend of recoveries for the country will continue as 2017 matures.

Quarter 2014 Q1 2014 Q2 2014 Q3 2014 Q4 2015 Q1 2015 Q2 2015 Q3 2015 Q4 2016 Q1 2016 Q2 2016 Q3 2016 Q4 2017 Q1
Estonia 53% 67% 73% 74% 98% 70% 47% 56% 52% 68% 69% 64%  52%
Finland 40% 61% 36% 54% 62% 57% 18% 20% 30% 51% 66% 34%  55%
Spain N/A 18% 18% 19% 30% 27% 28% 33% 27% 59% 32% 13%  24%
Slovakia N/A N/A 4% 9% 27% 12% 50% 41% 77% 146% 20% 34%  9%

You can find additional related information about the recovery process from these articles: