Bank Collateral Sales in Costa Rica Up 42%

At the Banco de Costa Rica the volume of assets received in lie of payment increased by 70% compared to 2011.

Tuesday, March 26, 2013

A survey by Elfinancierocr.com between 6 financial institutions, including the four public banks in the country, revealed that in February of this year, there were 1259 properties in their possession, in contrast to the 884 properties that were reported in the same period 2012, ie there was a 42% increase.

Banks do not receive real estate commission so they try to sell these pieces of collateral as quickly as possible , in order to recover the money paid out.

"Our policy is that the average time in inventory does not exceed 180 days, we lower prices in order to move on from that," said Gerardo Corrales, CEO of BAC San José.

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