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Bondora updates its default and recovery metrics in 2026

Bondora has published an update on the loan portfolio linked to Go & Grow. The report includes data up to June 2026 on active loans, twelve-month default probability, concentration in Finland, and long-term recovery estimates.

Bondora has published an update on the loan portfolio linked to Go & Grow. The report includes data up to June 2026 on active loans, twelve-month default probability, concentration in Finland, and long-term recovery estimates.

Bondora has updated the loan portfolio statistics

linked to Go & Grow with information available up to June 2026. The

report, published on July 13, gathers metrics on active loans,

delinquency, probability of default during the first twelve months,

debt recovery and expected internal rate of return.

 

The company itself reminds that Go & Grow does not directly grant the

loans, but its operation is related to the performance of the

portfolio originated and managed by Bondora Group. The figures are

relevant for evaluating the product, although they come from the company and

combine historical results with projections.

Nearly 80% of loans remain active

 

Bondora states that nearly 80% of loans have remained active in

the periods analyzed and that delinquency levels in the different ranges

of vintage show limited variations. The company also notes that

a growing proportion of new operations is concentrated in

risk categories AA to C.

 

The percentage of active loans does not represent a repayment rate nor

does it alone allow calculating the portfolio’s profitability. To assess its

meaning, it would be necessary to know the principal balance of each group, the

age of the cohorts and the distribution of loans

that are restructured or delinquent.

 

Bondora updates some metrics quarterly and others annually. The

report should be read considering the cutoff date of each chart and

not as a uniform snapshot of all indicators on the same day.

Finland represents approximately 60% of the portfolio

 

Finland continues to be Bondora’s main market and concentrates

approximately 60% of the total portfolio. This exposure makes the

evolution of Finnish risk a particularly relevant factor for

overall performance.

 

The company highlights an improvement in the PD12 indicator, which measures the proportion of

loans that enter default during the first twelve months from their

origination. In Finland, PD12 is said to have decreased from 14% for the cohort

of the third quarter of 2023 to 8.3% for that of the first quarter of 2024.

 

Bondora warns that data for the Q3 2025 cohort

will not be available until after Q3 2026, when

the twelve-month observation period is completed. This temporal limitation

is important: the most recent cohorts cannot yet

be fully compared with earlier ones.

What Bondora considers a default

 

The company classifies a loan as defaulted when payments are

more than 90 days overdue and the customer’s contract has been terminated due to

default. Entering default does not necessarily mean that the entire

principal is lost, because from that point onward the process of

recovery.

 

Bondora states that in some markets it can recover up to 70% of the

defaulted amount. To illustrate its ten-year estimates, it calculates

principal recoveries of EUR 667 for every EUR 1,000 defaulted in

Estonia, Latvia and the Netherlands, and EUR 689 in Finland.

 

These amounts are projections based on historical data.

In newer markets, such as Latvia and the Netherlands, the company uses

comparable information from other countries and initial trends. The

Effective results may vary by cohort, legislation, borrower’s

situation and duration of the procedure.

 

During the first three years after default, Bondora estimates the

typical recovery between 31% and 54% of the outstanding principal,

depending on the country. The rest may take several years to materialize or

may not be recovered at all.

The projected IRR remains above the Go & Grow target

 

Bondora calculates a projected IRR for the portfolio by combining

historical performance, expected defaults, and estimated

recoveries. According to their model, this rate has remained above the

Go & Grow target return of up to 6% per year over the

past years.

 

The mentioned IRR is a projection of the underlying portfolio, not the

contractually guaranteed return for each user. Additionally, the liquidity

that allows fund withdrawal under normal conditions depends on separate

management and may be affected in adverse market situations.

 

The difference between the projected portfolio return and the target

serves as a margin to absorb costs, defaults, changes in

recoveries and liquidity needs. Without financial information

complete it is not possible to determine how much margin exists at any given time nor

how it is distributed among the different product functions.

What investors should watch for

 

The report improves the information available on the portfolio, especially

by explaining the definition of default, geographic concentration, and

recovery methodology. However, it does not replace an independent verification

nor a complete breakdown by cohorts and balances.

 

Investors should monitor Finland’s PD12, the evolution of

the most recent markets, actual recoveries versus estimated

and any changes to Go & Grow withdrawal conditions. Also

it will be relevant to check whether the Finnish concentration decreases or

remains around 60%.

 

Historical, estimated or target returns do not guarantee

future results. Recovery projections may change and a

portion of the invested capital could be lost.

Source

 

This news was prepared based on information originally published

by Go & Grow / Bondora Group on July 13, 2026.

 

Original publication:

https://goandgrow.eu/en/blog/bondora-loan-portfolio-statistics-2026-a-transparency-report/


Source: https://goandgrow.eu/en/blog/bondora-loan-portfolio-statistics-2026-a-transparency-report/

Informational content. Not personalized financial advice.

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