Navigation: Reports >> Portfolio At Risk (PAR)
Description: View Portfolio At Risk (PAR) figures for the branch.
Portfolio At Risk (PAR) is the percentage of gross loan portfolio that is at risk. So, PAR 30 is the percentage of the gross loan portfolio for all open loans that is overdue by more than 30 days. It is calculated as follows: Total Principal Balance divided by Total Principal Amount Released of all open loans.
Generally PAR 90 loans are considered as bad loans. You can use this to keep enough cash aside in case of future loan defaults. PAR values are often used in accounting to show the health of the total loan portfolio.
The following fields are present in the Portfolio At Risk (PAR) page.
PAR 30
PAR 30 is the percentage of the gross loan portfolio for all open loans that is overdue by more than 30 days.
PAR 60
PAR 60 is the percentage of the gross loan portfolio for all open loans that is overdue by more than 60 days.
PAR 90
PAR 90 is the percentage of the gross loan portfolio for all open loans that is overdue by more than 30 days. Generally PAR 90 loans are considered as bad loans.
Calculate PAR
Type number of days to calculate the PAR value.