nonperforming loan

Non Performing Loan

A loan in or near default. According to the International Monetary Fund, a non-performing loan is any loan in which: interest and principal payments are more than 90 days overdue; or more than 90 days' worth of interest has been refinanced, capitalized, or delayed by agreement; or payments are less than 90 days overdue but are no longer anticipated. Another definition of a non-performing loan is one in which the maturity date has passed but at least part of the loan is still outstanding. The specific definition is dependent upon the loan's particular terms.

nonperforming loan

Under banking regulations, a loan that is more than 90 days past due, that has been placed on nonaccrual,or that is current on its payments but being handled as a workout.

References in periodicals archive ?
Asset quality steadily improved as the gross nonperforming loan (NPL) ratio declined further to 2.
M2 EQUITYBITES-July 1, 2016-Scandinavian Debt Collector Axactor Acquires Spanish Nonperforming Loan Portfolio from BMN
Forty-seven of Japan's 84 publicly traded regional banks saw their respective net profits rise in the April to September first half of fiscal 2011 from a year earlier as nonperforming loan disposal costs declined.
The 90 days criterion is used more often by various national legislations in order to define a nonperforming loan.
It remains to be seen whether the FSA and Takenaka can achieve their goal of reducing the nonperforming loan (NPL) ratio of major banks by half (it is currently more than 8 percent), or in other words, writing off by fiscal 2004 over [Yen]13 trillion of nonperforming loans, which continue to grow faster than the current pace of NPL liquidation.
A jump in nonperforming loan levels is just the first phase," Weiss said.
Loans under surveillance -- overdue loans that have not yet reached nonperforming loan standard and bad loans that have been exempted from reporting as nonperforming loans -- totaled NT$410.
Second, when a portion of a nonperforming loan is charged off, the remainder of the nonperforming loan may have a lower-than-normal expected loss and require few loan loss reserves.
For the current fiscal year, the bank expects to further narrow the net loss to 700 million yen by curbing nonperforming loan disposal costs.
The partners have signed an exclusive mandate with Banca Antonveneta for the acquisition of additional nonperforming loan portfolios expected to come to market in 2007, for a gross book value of approximately 5 billion euro.
Their accumulative nonperforming loan purchases since April 1999 have totaled 3,893.