What do you Know about NPA?

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NPA stands for Non-Performing Assets, which are loans or advances that have stopped generating income for the lender.

NPA is a term used in the banking industry to refer to loans that are in default or are close to being in default.
A loan is classified as an NPA if the borrower fails to pay interest or principal for a period of 90 days or more.
Banks and financial institutions are required to set aside provisions for NPAs to cover potential losses.
NPAs can have a negative impact on a bank's profitability and can also affect its ability to lend in the future.
Examples of NPAs include bad loans, restructured loans, and written-off assets.

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