Skip to content

Non-accrual Loans

Answered by: 

Question: 
We are a national bank and a member of the FDIC. On our internal calculation of the past due ratio, non-accrued loans are being subtracted from total loans and then non-accrued loans are not considered in the 30, 60, 90+ days past due. Should non-accrual loans be included in total loans since they are loans outstanding? Is there any OCC or FDIC rule that either supports using non-accrual loans or states that non-accrual loans are not to be included in the calculation of total loans and past due percentage?
Answer: 

Considering you say "on our internal calculation," there is no correct answer. For internal purposes, you can calculate these percentages in any manner that you wish. For regulatory reporting purposes, such as the call report, you have to follow the instructions for the report in question.

First published on BankersOnline.com 7/02/07

First published on 07/02/2007

Filed under: 
Filed under lending as: 

Banker Store View All

From training, policies, forms, and publications, to office products and occasional gifts, it’s available here:

Banker Store

hot right now

image description

Looking for effective, convenient training on a particular subject?

BOL Learning Connect offers more than 200 courses ON-DEMAND or on CD ROM from AML to Reg Z and every topic in between.

Search Topics