what is a 'write off' department in a bank ? is there any such thing? thanx for ur serious replies?

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what is a 'write off' department in a bank ? is there any such thing? thanx for ur serious replies?

2006-12-12 17:32:30 · 2 answers · asked by may_minu 3 in Business & Finance ➔ Credit

2 answers

"Writing off" means recognizing that a loan has gone bad and will not be repaid in full. In writing off a loan, the bank adjusts its expected future income downward.

I don't know if banks have a formal "writeoff department", but I'm sure every bank has some process for writing off bad loans.

2006-12-12 17:38:00 · answer #1 · answered by Bramblyspam 7 · 0⤊ 0⤋

The "write off" department is the institutions bad debt department. After a period of time(varies greatly from place to place) the bank will sell the bad debt.

2006-12-13 01:37:32 · answer #2 · answered by Tommy 1 · 1⤊ 0⤋