NPA Funding

Loan for NPA Accounts: Takeover Finance & OTS Funding in India

NPA funding by NBFCs and private credit funds — refinance your NPA loan account, fund a One Time Settlement, or arrange takeover of an NPA from the original bank. Coverage across Mumbai, Pune, Bangalore, Delhi and major metros.

What NPA funding solves

When a loan account turns NPA, the original bank's appetite to extend, restructure or wait usually disappears. NPA funding — also called loan for NPA accounts, NPA takeover finance or private finance for NPA accounts — brings in a fresh lender willing to refinance the situation on commercial terms. The borrower keeps the asset; the bank gets paid through a One Time Settlement; the new lender takes the security.

Who funds NPA accounts in India

  • Specialist NBFCs
    NPA funding by NBFC is the deepest pool — purpose-built for stressed-asset refinance.
  • Private credit funds
    Mid- and large-ticket NPA case funding with bespoke structures.
  • Family offices & HNI syndicates
    Secured exposure at higher yields, typically through an arranger.

The take-out structure

  1. 1
    Underwriting on the borrower and security by the new lender.
  2. 2
    Take-out sanction at improved terms — typically 14 to 24% p.a. depending on security and tenor.
  3. 3
    Negotiate One Time Settlement at the original bank in parallel.
  4. 4
    Disbursement timed to the OTS payment date.
  5. 5
    Original bank releases security and issues a No-Dues Certificate.
  6. 6
    Security re-mortgaged to the new lender; CIBIL updates within 1 to 2 reporting cycles.

NPA finance, city by city

Most active NBFCs financing NPA accounts have presence across the metros. Local execution capacity varies.

NPA funding in Mumbai
Deepest NBFC market for stressed-asset refinance and private finance for NPA accounts in Mumbai.
NPA funding in Pune
Active for manufacturing and SME NPA case funding; private finance for NPA accounts in Pune.
NPA funding in Bangalore
Tech, real-estate and services NPA funding; private finance for NPA accounts in Bangalore.
NPA funding in Delhi NCR
NPA consultants in Delhi and NBFC funding for trading, manufacturing and real-estate NPA accounts.
NPA funding in Ahmedabad
Textiles, chemicals and trading sectors — NPA loan take over and refinance.

Related solutions

Frequently asked questions