Open Book Policy: Shaping the Future of the NPL Market in Germany and Central Europe

Shaping a More Transparent Market 

Today, many NPL transactions are still dominated by sealed bids, limited feedback and a strong focus on the one single outcome of the sale price. Once the deal is closed, the information flow usually stops. 

With an open book approach, we change that. For us, a sale is not the end of the story. It is the start of an ongoing exchange of data and insight that helps both seller and purchaser make better decisions over time. 

The aim is simple but ambitious 
A market that is more efficient, more predictable and more collaborative for all professional participants. 

 

Beyond Price: Why Insight Matters 

Price will always be important. But for a seller, long term success is also about timing, information and the ability to learn from past deals. 

As a portfolio purchaser, we give something back beyond capital. By sharing aggregated performance data with our clients, we help them see how portfolios behave over time under different servicing approaches. This allows banks and other creditors to 

• understand the real value drivers in their receivables 

• refine their strategies for provisioning, pricing and deleveraging 

• prepare future NPL transactions on a much better information base 

The feedback from one sale can directly improve the outcome of the next one. 

 

From Workout to Origination: Closing the Risk Feedback Loop 

The unit that benefits most from this transparency is the risk organisation in a bank. A debt purchaser eventually sees the full picture of where lending decisions did not play out as expected. Over the life of a portfolio, structural weaknesses become visible 
from underwriting and scoring to documentation and collection strategy. 

If this information is shared back in a structured way, it becomes highly valuable input for the risk function. Together with our clients, we identify patterns and typical clusters of error and translate them into action. In practice, this means for example 

• sharper credit policies and scorecards at client onboarding 

• more precise risk appetite for specific customer segments or products 

• better use of early warning indicators in the front book 

For a bank, this is not a side effect. It is essential information for high quality lending. Insight into where and why customers defaulted helps to improve approval processes, pricing and ongoing monitoring. That makes the entire lending franchise more robust and more profitable. 

 

A Holistic Perspective for Future Transactions 

Looking at a portfolio only as a one time disposal misses an important opportunity. A broader analytical view across several sales and vintages shows where original assumptions were off 
for example in certain customer cohorts, in the expected speed of recoveries or in the effectiveness of specific contact strategies. 

For Chief Risk Officers and heads of workout units, these insights are directly usable. They support 

• better segmentation and steering of portfolios 

• more realistic pricing corridors for future sales 

• more thoughtful planning of disposal strategies over several years 

Transparency today does not only improve a single NPL sale. It also supports building better loan books from the very beginning. 

 

A Responsible, Long Term Partner in Central Europe 

Riverty positions itself as a long term investor and partner in Germany and Central Europe, not as a purely opportunistic bidder. The open book policy is a core element of this role. 

By establishing clear and structured feedback loops, we 

• reduce information gaps between seller and purchaser 

• stabilise expectations and pricing across multiple transactions 

• avoid aggressive short term bidding tactics that may win a single auction but destroy value over time 

The objective is to help develop a more mature and partnership driven NPL market in the region. 

 

Human Centric Finance as a Guiding Principle 

The open book idea fits into a broader picture. Riverty sees itself as a human centric fintech. The same mindset shapes our approach to debt collection 
with a focus on fair, transparent and solution oriented interaction with customers. 

For sellers, this matters as well. Sustainable recoveries, regulatory compliance and a resilient reputation are now central elements of NPL strategy. A transparent and data based partnership with a purchaser supports exactly these goals. 

If the NPL market in Germany and Central Europe is to mature further, transparent feedback loops between sellers and purchasers will be one of the key building blocks. Whether we buy portfolios or speak with individual customers, the aim remains the same to make finance fairer, more transparent and more predictable for sellers, investors and borrowers alike.