Hercules Guarantees: Risks & New Markets for Servicers

Market executives estimate that the risk to Hercules guarantees is real, but not significant. Even if targets are not met, the guarantee drawdown is not expected to exceed €5 billion, or 25% of the total.

2026 is considered a difficult year for servicers due to the pre-election climate, which makes recoveries difficult. Debt management companies are awaiting the pilot trial, which, in the event of a negative outcome, will incur high costs, as noted by Mr. Theodoros Kalantonis, president of doValue.

The cost of foreclosure can be up to 15% of the loan.

Source: newmoney.gr