Classified Loan Law and Legal Definition
Loans that are not paid on time and are nominated as troubled assets by banks are classified loans. Classified loans are usually issued according to terms and regulations of the bank. Bank examiners criticize classified loans as substandard. This occurs under two circumstances:
when information that was not available at the time of issue is uncovered; or
when circumstances with the borrower undergo some sort of change.
Banks designate classified loans as adversely classified assets.
Legal Definition list
- Classified Information or Classified National Security Information
- Classified Information
- Classified Contract
- Classified Acquisition
- Classification of Instructional Programs .CIP. [Education]
- Classified Loan
- Classified National Security Information
- Classified Tax System
- Classroom-Based Instructional Reading Assessment [Education]
- Clause
- Clause of Accrual
Related Legal Terms
- Access to Classified Information (Military)
- Acquisition and Improvement Loan [Veterans' Relief]
- Acquisition Loan [HUD]
- Acquisition, Development and Construction (ADC) Loan
- Adjustable Rate Mortgage Loan
- Administrative Cost of Issuing a Loan Guarantee
- Air Loan
- Allowance for Loan and Lease Losses
- Amortized Loan
- Assets Classified Loss
