IFRS-9 provisions
Loanly computes loan-loss provisions under IFRS 9 — the expected-credit-loss model — as a daily sweep. Each run records an immutable snapshot per loan, visible on the loan's Provisions tab.
Staging
Each loan is placed in one of three stages by credit risk, driven mainly by how far past due it is:
- Stage 1 — performing. A 12-month expected credit loss is provisioned.
- Stage 2 — significant increase in credit risk (e.g. materially past due). A lifetime expected credit loss is provisioned.
- Stage 3 — credit-impaired (deep arrears / default). Lifetime loss on the net exposure.
What a snapshot records
| Field | Meaning |
|---|---|
AsOf | The run date. |
Stage | 1 / 2 / 3, as above. |
DaysPastDue | Days past due that drove the staging. |
ExposureAtDefault | The balance at risk. |
LossAllowance | The provisioned expected loss for that stage. |
Where it posts
The provision run posts to the general ledger as a balanced journal entry (impairment expense against the impairment allowance), so the Accounting tab reflects the impairment alongside the loan's other GL movements. Because each run is an append-only snapshot, the provisioning history is fully auditable over time.