Portfolio at Risk (PAR): a practical guide for lenders

Portfolio at Risk is the share of your portfolio with payments overdue beyond a threshold (e.g., 30 or 90 days). It is the single most-watched quality metric for lenders.

Reading PAR

PAR30 captures early stress; PAR90 captures serious delinquency that usually requires provisioning and recovery action. Trends matter more than a single snapshot.

From monthly to live

With an integrated system, PAR, NPL and aging buckets update continuously from the repayment schedule — so officers act on day one of arrears, not at month-end.