J & K Bank Case Study

4286 Words18 Pages
CHAPTER 1: INTRODUCTION 1.1 Background to Non-Performing Assets: In the wake of the money related changes embraced by the Government of India in view of the Narasimhan Committee report I and II, prudential standards were presented by Reserve Bank of India to address the credit observing procedure being received and sought after by the banks and monetary foundations. To fortify further the recuperation of duty by banks and budgetary organizations, Government of India declared The Recovery of Debts Due to Banks and Financial Institutions Act, 1993 and The Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. 1.2 Non-Performing Assets: An account is declared as NPA based on non-payment of the…show more content…
It is the sole banker doing banking business in the interest of the Central Government, other than collecting central taxes for the Central Board of Direct Taxes. J&K Bank adopts a multi-pronged business approach. It increases giving in the home state with the point of improving edges, regardless of humble volumes. On the same note, the Bank attempts to capture niche lending opportunities in whole India. J&K Bank works on the standard of 'social strengthening of banking' as it tries to convey innovative financial solutions for families and…show more content…
This network even assesses the assets which are worth to be accepted by the bank as a security against the finance provided. b) Use of technology Fully computerisation of the branches have made the management of NPAs very efficient and effective. In 2011 System Level Asset Classification (SLAC) was incorporated by the bank making its systems more efficient. Bank has a Data Center set up centrally which overlooks all the accounts and finds the weakness in the particular accounts and reports the same to the branches preventing them from down grading. c) Recovery Teams: Bank has effective Recovery Teams in place at Cluster and Zonal Levels which follow up the weak accounts thus reducing the pressure on individual branches to recover the amount from bad loans. d) Customer Counselling: Bank even conducts various camps and programmes to provide knowledge to the public about the ill effects of NPAs and how it impacts the Bank’s

More about J & K Bank Case Study

Open Document