Question

Which of the following is a criterion for classifying a borrower as a 'Willful Defaulter'?

Q: Answer-Which of the following is a criterion for classifying a borrower as a 'Willful Defaulter'?

Willful default occurs when a borrower has the capacity to pay but doesnt, or when funds are divertedsiphoned off, or when the asset bought with the loan is sold without the banks knowledge.

A The borrower has lost their job and cannot pay.

B The unit has suffered a loss due to a natural calamity.

C The borrower has diverted funds for purposes other than those for which the loan was granted.

D The borrower has requested a restructuring of the loan.

E The borrower has secondary loans with other banks.

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Which of the following is a criterion for classifying a borrower as a 'Willful Defaulter'?

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