What Is SMA In CIBIL?

While applying for a home loan I came across SMA meaning in CIBIL. I wasn’t aware of it so I asked the bank officials to explain the meaning of it to me. They told me that SMA full form in CIBIL is Special Mention Account. It is a type of account that has been categorized as having default payments between 30 and 59 days. It is like awarning sign for lenders. Accounts categorised as SMA can turn out to become non-performing assets (NPAs).

As I already mentioned, SMA is an account that has been classified as a defaulter due to late payments between 30 to 59 days. So, if it happens that your account gets classified as SMA then there are a few things that you need to do to revert to date account as soon as possible. This will help your credit score from going down and also protect your financial health. Let me tell you what steps you can follow for this.

• Ensure that you make all payments on time and in full amount.

• Try to reduce your debt overall.

• Try to do things to increase your credit score.

• Also, try to increase your credit limit.

• Get a credit card that is secured enough.

• Make sure to pay down all of your credit card balances.

I hope this helps you understand what SMA means in CIBIL report.

If you are trying to avail a loan then I hope you already know what CIBIL is. When I availed a loan 2 years back, I got to know its meaning and other details related to it so let me tell you about them as well. CIBIL is a measurement of an individual’s creditworthiness, a numeric summary that is used by financial institutions for loan, advance or credit card application. You must be knowing what is SMA in CIBIL or the other types of asset classification as well to have a better idea of the whole. For your better understanding, I will be glad to share what I know about them here.

What does SMA mean in CIBIL report?

SMA or Special Mention Account is one of the four types of DPD asset classification. It is a special account created for reporting Standard Accounts moving toward Sub-Standard. So let me tell you what is Standard and Sub-Standard as well so you know what is the meaning of SMA in CIBIL report more easily.

Payments being made within 90 days

It refers to accounts where payments are being made after 90 days.

So if you really want to have a good CIBIL score you must try to make your account remanun a Standard account chiefly. 

I hope the concept of SMA reporting in CIBIL is clear to you now. SMA is basically the account between Standard and Sub-Standard account. 

This is all I had to say on What is SMA in CIBIL .