See your credit through
your banker's eyes

Upload your portfolio. Compare how 59 banks price your facilities. Find out who's overcharging you.

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59
Banks
26
Countries
100%
Pillar 3 data
BBB+ rated, 5-year term loan, EUR 25M, 150bp spread, 40% collateral

Bank RAROC Min Spread
HSBC 12.25% 147bp
Credit Agricole 11.86% 152bp
Barclays 11.64% 154bp
BNP Paribas 10.96% 164bp
Deutsche Bank 8.51% 202bp

Same deal. 55bp spread difference between cheapest and most expensive.

RAROC Bank Comparison & Optimization Tools

Everything a corporate treasurer needs to understand and negotiate bank pricing.

Bank Comparison

Same deal, different pricing. See how 59 banks evaluate your facilities using their actual cost structure, tax rate, and risk models from public Pillar 3 filings.

Portfolio Optimizer

Find the cheapest allocation. Our optimizer assigns your facilities across banks to minimize total cost, respecting your concentration and diversification limits.

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PDF Reports

A report your CFO will love. Branded credit profile reports with bank rankings, facility breakdowns, and optimization recommendations.

How the RAROC Calculator Works

Three steps. Two minutes. Actionable insight.

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CSV or manual entry. Term loans, revolvers, guarantees, derivatives — we handle 25+ product types.

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See RAROC across banks. Run the optimizer. Find the minimum spread each bank needs for your target return.

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Get a branded PDF with bank rankings, facility breakdowns, and savings recommendations. Ready for your board.

59 Banks Across 26 Countries

Every data point extracted from actual Pillar 3 regulatory filings. Not estimates.
France United Kingdom United States Germany Spain Italy Netherlands Sweden Denmark Japan Australia Canada China Switzerland Belgium

Featured bank profiles

Data sources: BIS CR6 tables, Pillar 3 disclosures, annual reports. Updated annually.

Browse all bank profiles →

Pricing

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  • 4 banks (BNP Paribas, HSBC, Deutsche Bank, JP Morgan)
  • Full RAROC calculator
  • Reverse solver
  • Sensitivity analysis
  • Open source engine
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Frequently Asked Questions

Common questions about RAROC, Pillar 3, and corporate credit pricing.
What is RAROC?

RAROC (Risk-Adjusted Return on Capital) is the after-tax return a bank earns on the regulatory capital it must hold against a loan. Banks use it to decide whether a deal meets their internal hurdle rate — typically 10-15% in Europe.

How is RAROC calculated for a corporate loan?

RAROC = (1 − tax rate) × [(Revenue − Operating Cost − Funding Cost − Expected Loss) / Capital Required + Risk-Free Rate]. Revenue comes from spread and fees. Each bank uses its own parameters from its Pillar 3 disclosures.

What are Pillar 3 disclosures?

Pillar 3 is the public disclosure requirement under Basel. Banks publish their credit risk parameters (PD, LGD, EAD) by exposure class. The CR6 template is what OpenRAROC uses to model how each bank prices corporate credit. Read our deep-dive guide.

Why do different banks price the same loan differently?

Different cost-to-income ratios, funding costs, tax rates, and internal risk models. A bank at 38% cost-to-income needs much less spread than one at 70%. Two banks pricing the same EUR 25M BBB+ term loan can differ by 50-80bp.

What is a good RAROC for a corporate loan?

From the bank's side, above the 10-15% hurdle. From the borrower's side, RAROC near or below the hurdle indicates the bank's margin is thin — you have negotiating leverage.

How accurate is OpenRAROC's bank data?

Every bank profile is sourced directly from public Pillar 3 CR6 filings and annual reports, with citations. Refreshed annually as banks publish new disclosures.

Is OpenRAROC free to use?

Yes. Free tier: 4 banks, full calculator, reverse solver, sensitivity. Pro (EUR 49/year): all 59 banks, optimizer, PDF reports, API/CLI access.

Basel III Methodology. Fully Transparent.

Every formula is documented. Every data source is cited. Read the full methodology or inspect the open source code.
Read the methodology View source on GitHub

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