Frankfurt am Main / Essen, May 20, 2025 – Debitos GmbH and the LOANCOS Group have entered into a strategic partnership. Their goal is to facilitate access to the German market for non-performing loans (NPLs) not only for domestic, but also for international investors.
According to the NPL Barometer published by the Federal Association for Loan Purchasing and Servicing (BKS), the volume of non-performing loans at German banks is expected to rise to around €41 billion by the end of 2025. The commercial real estate financing sector is particularly affected.
In light of this development, banks are increasingly under pressure to reduce their NPL holdings. Regulatory pressure is also being applied through the so-called NPL Backstop Rule. This rule requires banks to apply gradually increasing write-downs on their NPLs within certain timeframes – 100% after no more than three years for unsecured loans, 100% after nine years for loans secured by real estate, and 100% after seven years for other secured loans. This regulatory requirement increases the pressure on banks to sell distressed receivables at an earlier stage.
Established Platform and Licensed Servicer
The newly formed partnership between Debitos and LOANCOS addresses this market situation with a comprehensive solution. Debitos is an established online marketplace for the secondary market trading of loan receivables. The company is a member of the NPL Advisory Panel of the European Commission “Our platform allows investors to acquire NPL portfolios in Germany and many other countries. These investors often ask us for local servicing partners who are licensed under the European Union’s Credit Servicer Directive. LOANCOS is the ideal partner for us in Germany – broadly diversified, independent, and already licensed by BaFin since 2024,” explains Timur Peters, Managing Director of Debitos GmbH.
The companies within the LOANCOS Group hold this license: LOANCOS GmbH specializes in residential mortgage and consumer loan servicing, while Proceed Portfolio Services GmbH (PPS) handles commercial real estate and corporate loans. Both companies are licensed by BaFin as credit servicers under the German Secondary Loan Market Act (KrZwMG). This license is a prerequisite for managing, collecting, or restructuring receivables on behalf of third parties in Germany. Furthermore, LOANCOS is a member of the Federal Association for Loan Purchasing and Servicing (BKS), which was closely involved in the consultation process for the KrZwMG.
Strong Partner for International Investors
“The combination of servicing capacity, deep market knowledge, and regulatory expertise of the LOANCOS Group, together with Debitos’ strong market reach among banks and investors, makes us a strategic solution provider – for both banks and lenders on the seller side, and for domestic and international investors on the buyer side,” says Dr. Clifford Tjiok, Chief Commercial Officer and member of the Management Board at the LOANCOS Group.
As part of the partnership, Proceed Portfolio Services GmbH (PPS) will handle the operational servicing of commercial loan portfolios.
“The regulatory requirements of the KrZwMG pose new challenges. Together with Debitos and our sister companies within the LOANCOS Group, we offer investors a legally compliant and straightforward entry point into the German NPL market,” explains Tilo Knebusch, Managing Director of PPS.
About Debitos:
Debitos is the leading online transaction platform for the sale and trading of non-performing loan receivables in Europe. The platform enables banks, companies, and financial service providers to sell receivables in a structured process to a broad network of international investors. Debitos is also a member of the European Commission’s NPL Advisory Panel.
www.debitos.com
About the LOANCOS Group:
The LOANCOS Group is the largest independent credit platform for the development and management of loan portfolios in Germany. It enables banks, development institutions, insurers, and investors to manage loan portfolios efficiently and at scale – both in consumer and commercial lending. LOANCOS combines years of specialized expertise with strong technological capabilities.
LOANCOS is the market leader in backup servicing in Germany, stepping in after the failure of an operational platform to manage the orderly wind-down and recovery of financed assets for lenders.
Through its Hypostreet brand, LOANCOS arranges transactions and value-enhancing asset management services for real estate.
www.loancos.com
Press Contact:
CCAW GmbH
Email: loancos@ccaw-pr.de
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Tags: 2025, NPL, Partnership
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Read the orginal article: https://www.debitos.com/news/debitos-and-loancos-pave-the-way-for-investors-into-the-german-npl-market/
