Monthly collections from securitised retail loans up to 50% in June: Crisil

Collection ratio for loans in microfinance, commercial vehicle and mortgage space had fallen to near-zero in many pools in April 2020

The monthly collection ratio for securitised retail loans like microfinance, commercial vehicles and mortgages have risen to above 50 per cent after falling to near-zero in many pools in April 2020, according to Crisil.

The median monthly collection ratio represents all collections excluding prepayments as a percentage of estimated pre-moratorium billing for the month. Collections for pools of microfinance and commercial vehicle loan receivables, which had seen the sharpest drop after the lockdown, clawed back above 50 per cent in June.

In line with expectations, mortgage receivables, with property as collateral, were the most resilient with median collection ratio over 70 per