What is SMA and NPA?

Special Mention Accounts are those assets/accounts that shows symptoms of bad asset quality in the first 90 days itself or before it being identified as NPA. Logic of such a classification is because some accounts may turn NPA soon. …

What is SMA loan type?

Banks will categorise accounts as SMA when the money remains outstanding for 30-90 days after due payment date. It has also incorporated some non-financial signs for banks to detect and treat loan as SMA.

What does SMA mean in banking?

A special memorandum account (SMA) is a dedicated investment account where excess margin generated from a client’s margin account is deposited, thereby increasing the buying power for the client. The SMA essentially represents a line of credit and may also be known as a “special miscellaneous account.”

What is meant by SMA in cibil?

Special Mention Account (SMA): Special account created for reporting Standard Accounts moving toward Sub-Standard. Sub-Standard (SUB): Payments being made after 90 days. Doubtful (DBT): The account has remained Sub-Standard for 12 months.

What is SMA loan type in HDFC?

Such loans are categorised as SMA2 — or, special mention accounts (SMA) -2. (SMA1 are loans where interest or principal is overdue between 31 and 60 days; while SMA0 are loans where principal and interest are overdue for less than 31 days or showing initial signs of stress).

What is SMA as per RBI?

Special Mention Account (SMA) Special Mention Account (SMA) is an account which is exhibiting signs of incipient stress resulting in the borrower defaulting in timely servicing of her debt obligations, though the account has not yet been classified as NPA as per the extant RBI guidelines.

What is the expansion of SMA?

‘Special Mention Account’ (SMA) was introduced in terms of RBI Circular No. DBS. CO. OSMOS/B.C./4/33.04.

What is the meaning of SMA 0?

Principal or interest payment
SMA-0. Principal or interest payment not overdue for more than 30 days but account showing signs of incipient stress (Please see Annex) SMA-1. Principal or interest payment overdue between 31-60 days.