• releasing a part of the non-working capital;
  • evenues generated from the sale of debts may provide additional financial flows in order to increase the bank’s lending;
  • releasing dedicated reserves, which brings positive results, e.g. reduction in the bank’s financial costs;
  • reducing costs of debt recovery related to the following costs: judicial, legal representation, enforcement proceedings, etc.;
  • increasing effectiveness of the bank’s recovery and restructuring activities;
  • sale of balance sheet receivables classified as “lost” has a positive effect on improving the quality of the portfolio and, consequently, improves the structure of the bank’s balance sheet. As a result, securitisation allows the bank to improve its capital adequacy ratios without involving the shareholders’ capital;
  • securitisation also offers banks tangible tax benefits. Revenues from the sale of debts from loans and borrowings to a securitisation fund or an investment fund society which created the fund do not constitute revenues in the meaning of the Act on corporate income tax (to the amount of the unpaid part). In addition, the bank can classify the loss incurred on such a sale as deductible to the amount of the reserve recognised as the deductible. The bank cannot take advantage of such protection if it sells debt to a debt collection company.