Standard Factoring

This solution is primarily recommend to those micro-and small enterprises that have a stable client base and whose main goal is financing. The Bank provides the service based on the factoring conditions set out in Act V of 2013 on the Civil Code (recourse factoring). Financing flexibly follows the changing of your client base, in line with your company's annual net sales revenue or expected revenue from your buyer's relationships. The basis of financing is the gross purchase price of the receivable(s), to which a favorable financing ratio may be determined.

Standard Insured Factoring

With this solution, you can receive financing for your open account receivables (like in Standard Factoring product), and at the same time you can increase the security of your business by having the Bank insures your claim 95% against non-payment risk of your buyer(s).This solution is recommended for micro and small enterprises that have open receivables from domestic and export trade, and want to obtain financing and security against buyer's non-payment.

Agricultural Factoring (factoring of receivables from a body disbursing national/European Union subsidy funding)

Subsidies announced by the European Union and the related domestic bodies, approved and typically pre-financed by factoring in the granted amounts (e.g. agricultural subsidies - MVH, GOP, TÁMOP, etc.), and normative subsidies are already available during the implementation phase of the programs. Thus, factoring can help to ensure that the development is successfully implemented within the deadline. The requested services and their conditions are always in accordance with applicable laws. Pre-financing is generally available after the subsidy has been included in the decision by the competent authority, until the expected payment (due) date.

Factoring of receivables from state, healthcare and local government institutions

This factoring product is recommended for traders, service providers and manufacturing companies that continuously supply local governments, state-run institutions and hospitals. With this product, the Bank can manage the special risks of public organizations, the long payment terms and special agreements in healthcare.

Supply Chain Finance (SCF)

Supply Chain Finance (SCF) is a financing solution used by companies operating as buyers in the commercial chain to improve their working capital requirements for their daily operations without negatively affecting their supplier relationships.

With this product you can

• strengthen the delivery stability of your supplier network,
• extend your payment terms without burdening your suppliers, so
• also increase your suppliers’ financing ratio under SCF umbrella.

When using this product, the Bank determines a risk limit amount for your company and undertakes financing or purchasing of your suppliers' receivables against your business up to the limit amount, whether financing them up to 100% of the gross invoice amount.

Bulk factoring

The portfolio financing product type primarily offers medium-sized and large companies a simple, non-invoice-level financing solution with minimal administration, providing your business with easy-to-use, transparent receivables management and financing, even when financing a large number of invoices, even tens of thousands per year.

Based on the factoring frame agreement concluded between the Client and the Bank, the Client undertakes to

• all receivables against the debtor involved in the Factoring Frame agreement are assigned to the Bank, and
• submits invoices included in the factoring frame agreement at the regularity specified in the contract (usually weekly or biweekly), and the Bank provides it with a revolving facility in the amount of a specified percentage of the invoice amount.

Sales and purchase of receivables

OTP Bank does not factor receivables but purchases them - assuming the full risk of forcing the receivables and the insolvency of the buyer(s), within the framework of a sales contract. We recommend it primarily to companies that are concerned with keeping account receivables low and improving their balance sheet structure.