Non Performing Assets (NPA)




  1. the account remains ‘out of order’ in respect of an Overdraft/Cash Credit (OD/CC).
  2. the bill remains overdue for a period of more than 90 days in the case of bills purchased and discounted
  3. the installment of principal or interest there on remains overdue for two crop seasons for short duration crops,
  4. the installment of principal or interest there on remains overdue for one crop season for long duration crops,
  5. the amount of liquidity facility remains outstanding for more than 90 days, in respect of a securitisation transaction
  6. in respect of derivative transactions, the overdue receivables representing positive mark-to-market value of a derivative contract, if these remain unpaid for a period of 90 days from the specified due date for payment.
Banks should, classify an account as NPA only if the interest due and charged during any quarter is not serviced fully within 90 days from the end of the quarter.

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