What is a DCCO?

Banks must fix a Date of Commencement of Commercial Operations (DCCO) for all project loans at the time of sanction of the loan / financial closure* (in the case of multiple banking or consortium arrangements).

What is DCCO in business?

The RBI on Friday allowed non-bank financial companies to extend the date for commencement of commercial operations (DCCO) for loans given to commercial real estate by additional one year without considering it as restructuring.

How many times DCCO can be extended?

“The date for commencement for commercial operations (DCCO) in respect of loans to commercial real estate projects delayed for reasons beyond the control of promoters can be extended by an additional one year, over and above the one-year extension permitted in normal course, without treating the same as restructuring.

What is SMA reporting?

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 are IRAC norms?

Other Important Guidelines- IRAC Norms- “Erosion in value of Securities/Frauds committed by Borrowers”  In case of Erosion in the value of Security by more than 50\% of the value assessed by the bank or accepted by RBI Inspection team the Asset become doubtful straight away.

What is door to door tenor?

What is Door to Door tenor? It is generally used to indicate the total period within which the total debt borrowed is to be paid back by the borrower to the lender. This total period also includes the period of moratorium. Period of moratorium means the period for which payment has been postponed.

What is DCCO RBI?

It has been decided to harmonise the guidelines for deferment of date of commencement of commercial operations (DCCO) for projects in non-infrastructure and commercial real estate (CRE) sectors.

What is DCCO in real estate?

What is IRAC in bank?

IRAC are rules that prescribe when a loan should be declared as a non-performing asset (NPA). Once a loan is an NPA, the RBI requires that any recovery should not be classified as income.