Nonaccrual Loan

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Nonaccrual Loan

A loan on which the lender is not generating the expected interest rate due to non-payment. A loan is classified as nonaccrual if no principal or interest has been paid in 90 days. A nonaccrual loan is rather likely to default
References in periodicals archive ?
BancShares' nonperforming assets, including nonaccrual loans and other real estate owned, were $151.2 million or 0.57% of total loans at June 30, 2019, compared to $133.9 million or 0.53% of total loans at March 31, 2019.
Finally, our asset quality improved as nonaccrual loans declined by $2.1 million during the quarter."
Nonperforming assets, which includes nonaccrual loans and other real estate owned, were $49.9 million at June 30, 2019, $51.9 million at December 31, 2018 and $50.8 million at June 30, 2018.
Non-performing assets, which consist of nonaccrual loans and foreclosed properties decreased from USD 5.1 million at December 31, 2018 to USD 4.6 million at March 31, 2019.
He added, "We are pleased with these positive trends and remain focused on enhancing the company's long-term financial prosperity." At September 30, 2018, nonaccrual loans decreased substantially to $8,560,000 compared to $14,384,000 at September 30, 2017.
Behind the bank's eroding capital are $3.8 million in nonaccrual loans and nearly S3 million in loans 30-89 days past due and still accruing interest.
Past due and nonaccrual loans are low and continue to trend down, declining from 0.74 percent of total loans in 2016 to 0.69 percent in 2017.
Total nonperforming assets (which include nonaccrual loans, loans past due 90 days or more and still accruing, and foreclosed assets) as a percentage of total assets was 0.37 percent as of September 30, 2017, compared to 0.38 percent as of September 30, 2016.
include nonaccrual loans, loans past due 90+ days, troubled debt
However, depressed incomes in the livestock and biofuel industries have increased the number of nonperforming loans or nonaccrual loans. In response, lenders increased their loan loss reserves, especially agricultural banks.
Nonaccrual loans decreased $788,000 and delinquent loans also decreased to 1.38% of total loans from 1.56% at December 31, 2009.
"We also saw significant movement out of our nonaccrual loans into other real estate during the second quarter, which will allow for continued reduction in nonperformers throughout the remainder of the year."