Credit control and monitoring

Credit monitoring ensures that loans are being used for the intended purpose and that the borrower's financial health remains sound, enabling early detection of potential defaults.

Process of managing and regulating credit sanctioned to borrowers.

Loan Review Mechanism is an independent, ongoing review of credit quality conducted by the bank to identify weaknesses in individual accounts and ensure adherence to credit policies and RBI guidelines.

Surveillance of loans after funds are released to borrowers.

Evergreening refers to the practice of extending fresh credit or restructuring existing loans to conceal a borrower's inability to repay, thereby artificially keeping the account Standard instead of classifying it as NPA.

Quarterly Information System (QIS) submitted by borrowers.

QIS requires borrowers with large credit limits to submit quarterly data on production, sales, stocks, and receivables, enabling banks to track deviations from projections and take corrective action promptly.

Regular oversight of accounts to ensure proper end-use of funds.