What is SMA (Especially Mentioned Account)? How to remove SMA From CIBIL report?

 

In 2014, RBI (Reserve Bank of India) introduced a new guideline, which is about the delayed payment days of an account in the CIBIL report.

 

Generally, when a PSU Bank/NBFC has sanctioned a loan, then it is an asset for Bank. But if the customer could not pay the EMI amount for a long time (more than 90 days) then the loan account became NPA (Non-Performing Asset). Simply SMA helps to define those accounts in the CIBIL report. 

 

SMA (Especially Mentioned Account) has three categories to identify the accounts, based on the no of repayment delay days:

 

1.    SMA 0 (Repayment delay for 0 to 30 days)

2.    SMA 1 (Repayment delay for 31 to 60 days)

3.    SMA 2 (Repayment delay for 61 to 90 days)

Most of the time, the repayment delay days are represented as DPD in individual CIBIL reports. And the DPD (Days Past Due) is represented by number of days (0 to 999). 

                   Picture 1: Repayment delay days represent in term of DPD 

 

But nowadays, most of the PSU Banks are mentioned SMA in place of DPD rather than NBFCs. It creates a negative impact on that specified account in the CIBIL report. If once your account is defined as Specially Mention Account, then your CIBIL Score will go down rapidly. 

 

Picture 2: Repayment delay days represent in term of SMA 

 

Since PSU Banks are not create too much pressure on their customer for payment like any other NBFCs. For that reason, people pay later their PSU Bank’s EMI, which is very bad in practice. So, it is advised to all of you that you must be serious about PSU Banks’ EMI like any NBFCs’. 

 How to remove SMA From the CIBIL report? 

 1.   If someone paid his entire outstanding amount to close the account. And also, he collected the No Due Certificate from the bank. Then the last must be STD/000/XXX.

 

 If there, SMA

 has been mentioned in the last of your repayment history, then it is   an error in that specific account of the CIBIL report. In that case, the customer can

raise a dispute in that account by login into the CIBIL portal. 

Picture 3: Last Repayment history represents in terms of SMA 

 

2.    If some customer could not pay their EMI on time, then there is mentioned SMA in the repayment history. In that case, the customer can remove Specially Mention Account with the help of poxy. In that case, it's very less chance (20%) to remove that genuine SMA.

         Read More:    

       1. How to download CIBIL report (Free) CIBIL report in PDF format?

      2. CIBILSCORE REPAIR AGENCY

        3. CIBIL dispute resolution time | How to resolve (CIBIL) dispute fast and               improve your score? 

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