What are the types of non performing assets?

Types of Nonperforming Assets (NPA)

• Overdraft and cash credit (OD/CC) accounts left out-of-order for more than 90 days.
• Agricultural advances whose interest or principal installment payments remain overdue for two crop/harvest seasons for short duration crops or overdue one crop season for long duration crops.

What are non performing assets of banks?

Definition: A non performing asset (NPA) is a loan or advance for which the principal or interest payment remained overdue for a period of 90 days. Description: Banks are required to classify NPAs further into Substandard, Doubtful and Loss assets.

What is a Noncommunity bank?

A non-community bank, on the other hand, is an institution that may “(1) focus on products, services, activities, market segments, funding, or delivery channels other than local lending and deposit taking; (2) pursue a broad geographic footprint (such as operating nationwide from a limited number of offices); (3) …

What is non performing assets of Indian commercial bank?

Non-performing asset (NPA) – It is a loan or advance for which the principal or interest payment remained overdue for a period of 90 days. NPA as defined by the RBI, “if for a period of more than 90 days, the interest or installment amount is overdue then that loan account can be termed as a Non-Performing Asset.

What is NPA as per RBI circular for various different types of lending in banks?

As such, with effect from March 31, 2004, a non-performing asset shall be a loan or an advance where: (i) Interest and / or installment of principal remain overdue for a period of more than 90 days in respect of a Term Loan.

What are non performing assets Upsc?

Non Performing Assets (NPA) – What is the meaning of NPA? [UPSC Economics Notes] When a person delays the payment of the loan or an amount which was due on him through the delay in payment in either interests or installments or principal amount, that particular loan or amount is termed as Non-Performing Asset.

Which among the following is not a category of non performing assets?

A non-performing asset (NPA) is a loan or advance for which the principal or interest payment remained overdue for a period of 90 days….NPA MCQ Question 7 Detailed Solution.

Category	Conditions
Loss Assets	Asset considered uncollectible and of little value but not written off wholly by the bank.

What is the asset size of a community bank?

Community banks serve businesses and consumers throughout the country. The Federal Reserve defines community banking organizations as those with less than $10 billion in assets, and regional banking organizations as those with total assets between $10 billion and $100 billion.

Which bank has the highest NPA?

Among PSBs, State Bank of India (SBI) which accounts for the highest share at around 20\% of the gross NPAs of state-owned banks in Q3 FY21, reported the highest asset quality improvement, with a decline in bad loan to 4.8\%, followed by Punjab National Bank (PNB) accounting for around 16\% share which also posted lower …

Why Indian banks face more NPA?

Low earnings affected their ability to pay back loans. This is the one of the most important reason behind increase in NPA of public sector banks. Another major reason of rising NPA was the relaxed lending norms for corporate houses. Their financial status and credit rating were not analysed properly.