I encourage all account holders eligible under this scheme to seize this golden opportunity: Amitava Chatterjee
J&K Bank launches special one-time settlement scheme ‘KARZ SE MUKTI’
Srinagar, Jan 1: J&K Bank today launched its special one-time settlement scheme to reduce Non-Performing Assets (NPAs) and assist borrowers facing genuine financial challenges.
The scheme, ‘J&K Bank’s Special One-Time Settlement Scheme for NPAs/RLAs (KARZ SE MUKTI)’, was unveiled by MD & CEO Amitava Chatterjee at the bank’s corporate headquarters during a ceremony attended by Executive Director Sudhir Gupta, general managers, and other senior officers.
The scheme, as per a handout issued by the bank, is designed to help borrowers with NPA accounts categorized as Doubtful-I, Doubtful-II, Doubtful-III, and Loss/RLAs with principal NPA/RLA outstanding balances of up to ₹5 crore as of September 30, 2024.
Speaking at the launch, MD & CEO Amitava Chatterjee said: “The JKB Special OTS-2024 Scheme reflects our commitment to support borrowers who face genuine repayment difficulties. This attractive scheme offers the best possible incentives and concessions, providing eligible borrowers a golden opportunity to settle their accounts and resolve liabilities.”
He urged the Bank’s teams to actively reach out to borrowers, explain the scheme’s benefits, and work collaboratively to ensure effective implementation and maximum resolutions.
Earlier, General Manager (IAPMD) Rajesh Malla Tickoo provided an overview of the Bank’s NPA scenario, highlighting how the steep reduction in the Bank’s GNPA ratio – from nearly 9% few years ago to 3.95% in September 2024 – underscores the Bank’s focused approach to asset quality. He described the Special OTS scheme as a key step in furthering this success.
Valid for three months ending on 31st March 2025, the scheme is non-discretionary and non-discriminatory, offering incentives for early repayment of the OTS amount. As per the scheme, the sanction will be accorded and conveyed within 7 days from the date of receipt of the application.
