The number of bad-payers in Romania is on the rise, over 670,000 Romanians have debts in banks and non-banking financial institutions (NBFIs), and their number has increased from one month to the next, according to a KeysFin analysis based on statistics provided by the eKollect debt management web platform, a software application developed in Romania, the first version of which was launched by Starbyte 14 years ago.
At the same time, over 100,000 debtors were monitored on the Internet in November.
Amidst a strong appreciation of the euro and rising consumer spending, more and more Romanians are unable to pay their loans installments on time, and thus they go into enforced enforcement proceedings, the study reads.
According to Starbyte experts, the worsening situation in the lending sector is also seen in the debt tracking procedures. On the eKollect platform, a web-based application that allows control, tracking, and automation of the debt collection process used by many Romanian financial institutions, the number of investigated cases in November exceeded 100,000, up by 20,000 compared to H1 2017.
“The fully secured platform manages the real situation of individuals and companies with debts and allows creditors, banks, NBFIs, debt collection companies, and law firm dealing with Soft and Legal Collection to manage their collection actions on an optimal level. eKollect allows tracking of enforcement, insolvency, bankruptcy and liquidation files,” Starbyte experts show.
According to National Bank of Romania (BNR) latest data, the total amount of outstanding loans in lei of the population and companies stood at RON 5.77 billion in August 2017, up by 0.51 percent in month-on-month comparison, while outstanding forex loans increased by 7.4 percent, to RON 7.08 billion. Most of the debts were more than 90 days overdue (RON 4.32 billion).
The eKollect platform automates and streamlines the collection, monitoring and reporting for banks, leasing companies, call centres and collection companies. eKollect allows monitoring and reporting by tracking all actions, contacts, and agreements between parties. eKollect allows simplified negotiations so that collection companies can make progress and debtors do not feel bombarded with messages and calls.
Organisations like BCR Leasing IFN SA, Coface, Allianz Tiriac Asigurari, Credius, ERB Retail Services IFN, Storevision Group AB, EOS Matrix, BDO Audit, Infocredit Group LTD, CreditReform, Marfin Bank, BEJ Aequitas, Bank Moldova have been tracking the situation of debt collection from bad payers.