- Home
- Credit Score
- Special Mention Account Csgen
Special Mention Account in CIBIL
- Instant Results
- No Hidden Fees
- Secure & Confidential
- No Impact on Your Credit Report
I agree to the Terms and Conditions of TUCIBIL and hereby provide explicit consent to share my Credit Information with Urban Money Private Limited.
Verify your number
Enter 6 Digit OTP
Change mobile number
Table of Content
1. What Is SMA in CIBIL? |
2. What Does SMA mean in the CIBIL Report? |
3. What Is NPA? |
4. What Is The Difference Between SMA and NPA? |
5. Does SMA Affect CIBIL Score? |
Written By
Reviewed ByA credit report is pivotal for lenders to ascertain your creditworthiness. It entails various terms and classifications, among which the Special Mention Account (SMA) plays a significant role. Understanding SMA in CIBIL reports is essential for individuals or entities, as it helps to foster healthier credit profiles and ensures better financial stability. Hence, Urban Money offers a thorough overview of SMA reporting. Moreover, you can learn about its influence on your credit score and its association with non-performing assets (NPA). NPA is another critical term alongside SMA reporting in CIBIL. Let’s scroll down to learn more.
What Is SMA in CIBIL?
SMA in CIBIL refers to Special Mention Accounts. When a borrower starts making payments later than the due date, even if it’s just a few days late, the pertinent account is marked as SMA-0. This situation may also prompt a closer examination from the lending institution. Continuous delays can lead to the account being classified as SMA-1 or SMA-2. In other words, SMA reporting accounts indicate a sign of financial stress and are at risk of becoming NPAs. This further acts as an early alert system for banks and financial institutions, urging them to monitor these accounts more closely due to the risk of default. Notably, there are four different SMA categories, each determined by the duration the payment has been overdue.
- SMA-0: Payment overdue up to 30 days.
- SMA-1: Payment overdue between 31-60 days.
- SMA-2: Payment overdue between 61-90 days.
- SMA-NF: Accounts showing non-financial stress indicators.
What Does SMA mean in the CIBIL Report?
The SMA in the CIBIL Report serves as a warning sign for lenders. It signifies that the borrower is facing financial stress, which could lead to default. This classification signals lenders to pay close attention to such accounts and initiate early interventions to mitigate potential losses. For borrowers, being classified as SMA is a crucial alert for addressing their financial challenges quickly. So, borrowers should collaborate with their lenders to normalise their accounts and prevent further damage to their credit status.
What Is NPA?
NPA in the CIBIL Report stands for Non-Performing Asset. It denotes a loan (EMI) that remains unpaid for 90 days or more. This suggests that the asset has stopped generating income for the lender, indicating a more severe financial issue than SMA reporting. Thus, the NPA status impacts the borrower’s creditworthiness and signifies potential losses for the bank or lending institution, affecting its liquidity and profitability.
What Is The Difference Between SMA and NPA?
Let’s examine the difference between NPA and SMA in CIBIL:
| Features | SMA | NPA |
| Definition | SMA status is allocated to accounts with payments overdue for less than 90 days, signifying the initial stages of financial strain and the potential risk of default. | NPA status is assigned to accounts with overdue payments above 90 days, indicating a higher financial strain. |
| Classification Basis | ASMs are classified into three categories: SMA-0, SMA-1, and SMA-2, based on their overdue periods of 30, 60, and 90 days, respectively. | Payment is overdue for more than 90 days. |
| Purpose | Monitor and identify potential NPAs early, signalling borrowers and lenders to take preventive actions. | To classify loans has become a risk due to non-payment, indicating definite financial distress. |
Does SMA Affect CIBIL Score?
The Special Mention Account (SMA) status can significantly affect your CIBIL score. While the indiction of SMA-0 might not immediately impact your CIBIL Score, moving to SMA-1 or SMA-2 can cause a higher level of distress and risk, ultimately lowering your credit score. So, it’s prudent for borrowers to tackle such issues promptly to protect their credit health. Failing to do so can result in an NPA classification, further deteriorating the credit score.
Credit Score Guide
Get in-depth knowledge about all things related to Credit Score and your finances
Is 750 a Good Credit Score? Benefits and How to Achieve It
Easy Ways to Achieve a Credit Score of 750 A credit score of 750 is considered very good. It helps you get loans easily with low interest rates. You must manage your credit well and follow good financial habits to achiev
CIBIL Score Check For Union Bank of India
How to Check Union Bank of India CIBIL Score Urban Money offers a simple method to check your Union Bank of India cibil score at no cost! Here’s how to check your credit score on Urban Money’s website: Visit the Urban M
How a Single Missed Payment Can Impact Your CIBIL Score
Short-Term Consequences of Defaulted Repayments Defaulting on a repayment can hurt your financial reputation and lead to several immediate effects. Here are a few short-term consequences that can happen if you miss a sin
How to Resolve CRIF High Mark Credit Report Errors
Common Errors Found in CRIF High Mark Credit Reports Here are the common errors found in CRIF High Mark credit reports: Closed Accounts Showing as Open: Accounts you have paid off may still appear open. This can affect
Why Checking Your CIBIL Score is Crucial Before Applying for a Loan
Understanding CIBIL Score A CIBIL score is a three-digit number that shows how responsible you are with money and credit. It ranges from 300 to 900, with a higher score meaning you handle credit well. Credit Information
How Gold Loans Affect Your CIBIL Score and Tips to Protect It
Does Taking a Gold Loan Affect Your CIBIL Score? The short answer is yes, it does. However, whether the impact is positive or negative depends entirely on how you manage your gold loan. When you take out a gold loan, you
Managing CIBIL Score and Financial Emergencies
Understanding CIBIL Score Basics A CIBIL score is a three-digit number between 300 and 900 that shows your creditworthiness. It is based on your credit history, which includes how you have handled loans and credit cards.
Role of CIBIL Score in Car Loan Approval and Terms
How CIBIL Scores Influence Car Loan Approval? The CIBIL score is a three-digit number that ranges between 300 and 900. A higher score indicates better creditworthiness and vice versa. Lenders typically prefer applicants
Kotak CIBIL Score: How to Check & Loan Requirements
How to Check Your Kotak CIBIL Score? Checking your CIBIL score regularly is crucial for maintaining a healthy credit profile. Here is a step-by-step details to checking your Kotak CIBIL score: Visit the Official CIBIL W
CIBIL Score for Car Loans: Top Picks for 2025
List of Best Car Loan in India 2025 Here are some of the best available car loan options in India with minimal interest rates and low processing fees: State Bank of India Car Loan SBI offers a fantastic deal to finance
Does Checking Your CIBIL Score Impact Your Credit Score?
Does Checking Your CIBIL Score Affect It? True or False? The short answer is false. Checking your CIBIL score is considered a soft inquiry and does not impact your credit score. People often get confused because they fai
How to Avoid Credit Repair Scams and Protect Your Credit Score
Understanding Credit Repair Scams Credit repair scams are traps set by individuals into luring you by offering you a magical solution that practically holds no meaning. They use sneaky tricks to make you believe they can
Difference Between Equifax & CIBIL Score
Equifax Vs CIBIL Understanding credit scores is paramount for securing loans and credit cards in India. Equifax and CIBIL (TransUnion CIBIL) are prominent players in this arena. While both provide credit information to l
How Student Loans Influence Your Credit Score
The Impact of Student Loans on Your Credit Score The impact of education loans on CIBIL scores can be positive and negative. As mentioned above, the outcome largely depends on managing your credits. For a more detailed i
How Bankruptcy Impacts Your Credit Score
Impact of Bankruptcy on Your Credit Score Here are the key aspects of how bankruptcy impacts on your credit score and beyond: 1. Significant Drop in Credit Score Your credit score takes a massive hit when you file for ba
