Top NPA Funding Companies in India

 

Businesses suffer a financial crunch due to global issues such as the wars in the Middle East and the Russia-Ukraine war. Other reasons, including late payment & under-financing, are major issues impacts the repayment of the loans, and make them stressed or NPA.

 

After NPA, the banks initiate legal actions against the borrowers to recover their loans. These actions include taking possession & auction of underlying securities. Borrower also faces the following issues:

 

• Non-availability of further funding

• NPA marking in CIBIL & degrading the score

• Classification of other standard loans to NPA

• Debit freeze of current accounts

• Bank pressure to deposit the whole loan amount

• Refusal of a loan by other financial institutions 

 

All the above factors create a tough situation for the borrowers. So, repaying could be the top priority for the borrowers. But, paying the whole loan in a short period seems very hard as they are already facing a financial crunch, which makes them stressed. So, what’s the solution for such borrowers?

 

The answer is NPA Funding. But, again, a question arises: what is NPA funding & who will fund this?

 

So, in this article lets understand the answer to the above question.

NPA funding refers to financial solutions designed to support NPA borrowers to close their stressed accounts by restructuring, refinancing, or resolution of Non-Performing Assets. These solutions help lenders recover outstanding dues while providing borrowers with opportunities to revive their businesses.

 

Typical NPA funding services include:

 

• NPA Funding

• One-Time Settlement (OTS) financing

• Debt restructuring

• Bridge financing

• Asset Reconstruction Company Refinance

• Distressed asset acquisition

• Insolvency resolution funding

 

 

• Closure & transfer of NPA Account to a new lender

• Removal of NPA Tag

• Revival of Credit Score

• A new repayment tenor is provided

• Options for paying in EMIs

• Availability of a moratorium period for immediate relief from repayment

• To get relief from the legal cases with the previous bank

• To get working capital support

 

 

1. Fund Source India: This is the most versatile and international award-winning company serving stressed & NPA clients since 2011. They fund NPA & other distressed assets in PAN India. They have clients in all major cities. They offer loans to close NPA accounts and also offer financing to post-NPA cases looking for working capital. Apart from this, they offer corporate funding for industries like educational institutions, real estate, & Hotels.

 

2. OTS Finance Company: As per the name, they are specialists in providing funds for servicing bank OTS (One-Time Settlement). Besides this, they can also provide financing for NPA & SMA accounts. They are also active in builder & developer financing.

 

3. NPA Finance & Loan Company: This company is completely dedicated to the NPA borrowers. They also offer private finance to deal with the NPA situations. They finance stressed accounts at every stage, like SMA 1 & 2, NPA, and OTS. Borrower can avail working capital finance for NPA accounts.

 

Prime offerings of these companies are:

 

• NPA loan takeover facility

• Private finance for NPA accounts

• Refinance for stressed accounts

• Loan for paying OTS or bridge loans for OTS settlement

• NPA funding for corporates and builders

• Collateral-backed financing for stressed businesses

 

 

NPA funding companies serve as a ray of hope for borrowers struggling with NPA (non-performing assets). These are the only companies in the finance industry that offer loans to NPA accounts and other stressed businesses. They offer pre- to post-NPA financing and also offer working capital to strengthen the business.

 

Whether you are a corporate enterprise or an SME with distressed loans, you can connect with these companies to resolve your stressed loans and overcome challenging business situations while protecting your hard-earned assets.