NPA – Non Performing Assets

NPA – Non Performing Assets

Non-Performing Assets: Financial institutions classify an asset as a Non-Performing Asset depending on the age of the default under that Asset (generally loan given by the institution). Usually, when an Interest or Principle instalment under a loan remains overdue for a specified period of time the loan is classified as NPA.   Non-performing assets affect […]

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Funds Transfer Terminology in India

Funds Transfer Terminology in India

In banking and finance, clearing denotes all activities from the time a commitment is made for a transaction until it is settled. Clearing of payments is necessary to turn the promise of payment (for example, in the form of a cheque or electronic payment request) into actual movement of money from one bank to another/from […]

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Micro Finance – Strengths and Weaknesses

Micro Finance – Strengths and Weaknesses

Strengths and Weaknesses of micro finance  Strengths: The biggest strength is bringing financial services to the poorest of the poor people and making it financially sustainable by the economies of scalability. In India the National Bank for Agriculture and Rural Development (NABARD) finances more than 500 banks that lend funds to Self-help groups (SHG). SHGs […]

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Micro Finance

Micro Finance

Micro Finance-Prime Motto Outreach and sustainability are two critical objectives for microfinance institutions (MFIs). Outreach is also an indicator of the institution’s social mission—to scale up and provide services to as many people as possible. Sustainability, in contrast, requires operating at a level of profitability that allows sustained service delivery without dependence on subsidized inputs […]

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FATCA Compliance In T24

FATCA Compliance In T24

FATCA : Foreign Accounts Tax Compliance Act This is an Act enacted by US Government in March 2010 and it targets Tax non-compliance by US tax payers with foreign accounts. It focuses on reporting by U.S. tax payers about certain foreign financial accounts, off-shore assets and about financial accounts held by U.S. taxpayers or foreign […]

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