Investments are grouped into four categories for the purpose of classification and provisioning:
i) Continuous Investment: Cash Credit (CC), Overdraft(OD), Bai-Muajjal, Bai Murabaha etc
ii) Demand Investment: Loan against Imported Merchandise(LIM), Payment against Documents(PAD), Inland Bills Purchase(IBP), Foreign Bills Purchase(FBP) etc.
iii) Fixed Term Investment: HPSM, Leasing etc.
iv) Short term Agricultural and Micro credit/Investment: Any micro credit/investment.
Deliquency Cost
Deliquency means failure to pay an obligation when due. Normally consumer installment laons are considered deliquent if two consecutive payments are missed. A bank credit car is often treated as a deliquent account if a payment is not received within the allowed say 7-15 days grace preiod.
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