The challenges of collections during COVID-19 times

We shared our previous experience working with banks during the 2008 crisis and its consequences when the moratorium was meant to come as a tool to help both customers and financial institutions improve their situations. The impact, though, was different than expected.

“On the portfolio (of the institutions we analyzed), after 12 months of a moratorium, on average, 30% of the customers went directly to default. Nothing stopped them! It is foolish to think that client’s problems disappear after the moratorium.”

Tomas Wolf - Associate Partner at Adastra Business Consulting

In the recording, you can find:

• An explanation about what moratorium is, how it works and what is the real measured short and long term impact
• Our experience with other collections tools during the crisis and changes in the tools’ utilization during the lockdown