NPL (Non-Performing Loan)

A non-performing loan (NPL) is a loan in default or near default — typically more than 90 days past due. Banks sell NPL portfolios to specialist debt-purchase platforms and hedge funds; Italy, Greece, Spain, Germany, Cyprus, and Portugal have produced the largest European NPL volumes.

NPL transactions are some of the most VDR-intensive deals in Europe. See NPL data rooms.

Last updated: May 2026.