Description
Policy for removing uncollectable loans from the books. Covers: write-off criteria (cost-effective efforts exhausted, security realized, bankruptcy or unsecured status, no means to repay); approval path from staff recommendation to Executive Committee to board; credit bureau notification; write-off types (principal and interest, principal only, doubtful); continued recovery after write-off with annual review; recording recoveries; and closing accounts on full payment, settlement or final uncollectability.
