The Monetary Board authorized the Reidco Credit Corporation to partially transfer its loan portfolio and deposits to Motor Crédito, Banco de Ahorro y Crédito, according to its Third Resolution of May 26, 2022.
The highest regulatory body of the financial system also approved that the Reidco Credit Corporation voluntarily exit the financial market by decision of its Extraordinary General Assembly of Shareholders, with which the entity will enter a voluntary liquidation process.
The decision of the credit corporation -which has been operating since 1986- is not binding with any of the business branches of the business group to which it belongs, Reid & Compañía, Autocamiones y Agencias Generales, which will continue to focus on their commercial and services in force for 75 years.
As of March 2022, the total assets of the Reidco Credit Corporation amounted to RD$650 million, of which the net loan portfolio represented RD$597.7 million, with a delinquency rate of just 1.16% with ample coverage for the overdue portfolio. which implies high levels of financial stability.
Likewise, the financial entity reflects a solvency of 17.57%, almost double the minimum level required by prudential regulations.
For its part, Motor Credito, Banco de Ahorro y Credito, in the market since 1972, had as of March 2022 total assets of RD$9,235.6 million, a solvency ratio of 18.23%, delinquency of 1.14% and overdue portfolio coverage of 338%.
When offering the information, the Board of Directors of the Reidco Credit Corporation, thanked the trust and the valuable support to the financial entity from the collaborators, clients, suppliers, shareholders, related parties and monetary authorities.