NON PERFORMING ASSETS
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What is the definition of a Non-Performing Asset (NPA) as per RBI guidelines?
An NPA is a loan or advance where interest and/or principal repayment has remained overdue for a period of more than 90 days in respect of a term loan.
What is the full form of NPA in banking?
Non-Performing Asset, a loan in default.
What is the '90-day norm' for classifying an asset as NPA?
If interest or principal remains overdue for more than 90 days at the end of any quarter, the account is classified as NPA with effect from that date.
Which RBI circular introduced the 90-day NPA recognition norm?
RBI Master Circular on Prudential Norms on Income Recognition.
What is a Sub-Standard Asset in NPA classification?
A sub-standard asset is one that has remained NPA for a period less than or equal to 12 months; it carries a distinct possibility of credit loss if deficiencies are not corrected.
When was the 90-day NPA norm implemented in India?
From March 31, 2004, replacing the 180-day norm.
What is a Doubtful Asset under RBI's NPA classification?
A doubtful asset is one that has remained in the sub-standard category for a period of 12 months; full repayment is considered improbable given current circumstances.
What is SMA-0 classification for a loan account?
Principal or interest overdue between 1 and 30 days.
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