Distressed debts

Focus on your core business


Secure more financial flexibility and spare your resources by selling distressed debt to Creditreform.

 

Selling distressed debt relieves your internal processes by outsourcing the complex and cost-intensive collection of defaulted receivables to an outside party, thereby alleviating you of the massive demands it places on process management, the IT systems and responsible personnel.

Selling distressed debt allows you to free up your company’s resources and return to focusing on your core business.

It also mobilizes your liquidity reserves because valuable equity capital is no longer tied up in uncollected receivables.

That distressed debt has become a fungible economic asset tradable on an organized secondary market should be used to your benefit. For this reason, more and more creditors – especially banks, insurance companies and service enterprises – are opting for the sale of their problematic receivables.

Creditreform’s expertise particularly lies in the area of non-collateralized consumer debts. Our offer encompasses the one-time or revolving purchase of distressed debt portfolios of judicially – as well as  non-judicially – recognized receivables. The nominal value of a purchasable portfolio is usually of the magnitude of EUR 200 million for at least 100 individual receivables.

Your partner for purchasing distressed debt portfolios is CPM Creditreform Portfolio Management GmbH, a Creditreform AG group company. CPM works closely with the local Creditreform branch offices that establish the initial contact with the prospective seller. CPM then evaluates the portfolio and compiles a purchase bid. Once a contract has been concluded, the responsible local branch office then assumes responsibility for realizing the receivables.

© 2017 Verband der Vereine Creditreform e.V.
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