SMA-0 definition

SMA-0 classification means principal or interest payment not overdue for more than 30 days but account showing signs of incipient stress. ‘SMA-1’ classification means principal or interest payment overdue between 31-60 days. ‘SMA-2’ classification means principal or interest payment overdue between 61-90 days.
View Source

Examples of SMA-0 in a sentence

  • Example: If due date of a loan account is March 31, 2021, and full dues are not received before the lending institution runs the day-end process for this date, the date of overdue shall be March 31, 2021 and this account shall get tagged as SMA-0 upon running day-end process on March 31, 2021.

  • SMA / NPA Categories Classification basis – Principal or interest payment or any other amount wholly or partly overdue SMA-0 Up to 30 days SMA-1 More than 30 days and up to 60 days SMA-2 More than 60 days and up to 90 days NPA More than 90 days Example: If the due date of a loan account is 31st March, and full dues are not received before this date, the date of overdue shall be 31st March, it shall get tagged as SMA-0 on March 31.

  • In a second scenario, if the Borrower does not pay on the Due Date and the Instalment amount remain unpaid for a continuous period of 30 days, the Bank shall have the right to(a) levy default interest; (b) report the Borrower as an SMA-0.

  • For example: Example: If due date of your availed loan account is November 07, and full/complete accrued dues are not received before the lending institution runs the day-end process for this date, the date of overdue shall be November 07 and loan will be classified as SMA-0.

  • In a second scenario, if the Borrower does not pay on the Due Date and the Installment amount remain unpaid for a continuous period of 30 days, the Bank shall have the right to (a) levy Default Interest; or (b) report the Borrower as an SMA-0.

  • If this account remains continuously overdue even after the completion of day-end process on 30th day from the initial due date, after its classification as SMA-0, the account shall be classified as SMA-1, immediately after running of day-end process, if the full dues are not received before day-end process is run on the 30th day.

  • Illustrative movement of an account to SMA category to NPA category based on delay in non-payment of dues and subsequent upgradation to Standard category at day end process: Due date of pay ment Pay ment Date Payment covers Ag e of ol de st d ue s in d ay s SMA/NPA Categoris ation SM A sin ce Dat e / SM A cla ss dat e Cate goriz ation NPA Date 01.0 1.20 22 01.0 1.20 22 Entire dues up to 01.01.2022 ▇▇▇▇ 01.0 2.20 22 01.0 2.20 22 Partly paid dues of 01.02.2022 1 SMA-0 01.