ALL >> Investing---Finance >> View Article
Asset Reconstruction Company For India
Total Articles: 6
Slowing economic growth and crippling abilities of companies to repay debts have resulted in a lot of debts being converted to bad debts. This has, in turn, caused a huge burden on the banks which must go through the turmoil of accumulating such bad debts.
The expectant beneficiary in all this turmoil is the Asset Reconstruction company in India. It is the largest buyer of such failed ventures. Bad debts in the banking industry have crossed an astounding Rs 1 trillion and are still on the rise. The banks now try to liquidate such bad assets so that the bank burdens are been reduced.
The key question here is: what results in these bad loans? You can attribute a lot of these to the dynamic state of banking operations or environment, coupled with any stringent regulations in place.
To prevent piling up of several bad loans, there could be two likely workaround options. First option being where banks can handle the bad / unwanted loans on their own through provision of various perks, certain fiscal or exceptional accounting benefits, legislative powers, or so on. The other option can be about handling of the unwanted loans by a particular apex body, seeking help from the relevant firm/s.
There is quite a few benefits of utilizing the Asset Reconstruction Company or (ARC) approach. They include all advantaged been made available for any centralized process, ARC’s being the specialized agency, have NPA resolution as the main activity, the banks are in benefit as they can concentrate on their regular day to day banking operations without worrying about the unwanted assets and finally ARCs acting as a central agency, acquires bad loans from the banks by getting potential investors who wish to purchase such debts.
ARCs also help in building industry expertise in loan resolving and restructuring management. It also plays a crucial role in the evolution of capital markets through secondary assets.
An organization fully capable of undertaking such non-performing assets is JMFL. The asset reconstruction company has experts who have dealt in bad debts for quite some time and have an innate understanding of handling such delicate and complex assets and the potential investors who wish to buy such assets. Their sound advice too has created profit for investors who deal in such matters.
Investing / Finance Articles1. No Credit Check Faxless Payday Loans
2. Understanding Corporate Debt Restructuring In India
Author: Aniket Vichare
3. Tips To Know Before Applying For A Personal Loan By Srg
Author: srg housing
4. The Ultimate Guide To Cryptocurrency Wallet
5. Buy And Sell Mutual Fund Online | Moneytreesolution
6. Can I Get A Loan Despite Bad Credit Unemployment?
7. Advantages Of Binance Crypto Exchange
8. Payday Loans For People On Benefits Direct Lenders - 100% Online Decision
Author: Hamish Rutherford
9. Best Mcx Commodity Tips Provider In India
10. Why Open An Nri Account?
Author: Samantha Kennedy
11. Commercial Mortgage Loan
Author: Loansa Assit
12. Why Perform A Fundamental Analysis Of A Company?
Author: Aastha Kapoor
13. Open Online Trading Account With The Lowest Brokerage Charges
Author: Krutika Sharma
14. Avail Reliable Tax Return Online Australia Services To Get The Job Done Like Never Before
15. Get Yourself Best Sip Plans For Long Term
Author: Jignesh Shah