THE CREDIT LANE
About this funding solution
An NPA classification isn't necessarily the end of a lending relationship — many accounts are resolvable through a negotiated One-Time Settlement (OTS) or structured refinancing, provided the underlying business retains operational viability.
In a typical OTS, the borrower proposes a settlement figure, pays a token amount — usually 5–10% of the proposed sum — into a no-lien account to obtain an OTS letter, and then settles within a window of roughly 3 months to a year depending on transaction size.
This is deliberately the most case-specific product in our portfolio: every NPA situation carries a different history with the existing lender, which is why resolution strategy is built account-by-account rather than templated.
*Token payment made to the no-lien account to obtain an OTS letter and demonstrate settlement intent, per standard bank practice.
Who is this solution for?
For businesses with a genuine turnaround story, not accounts flagged for wilful default or fraud.
- Existing loan account classified as NPA or approaching classification
- Business is fundamentally viable but hit a temporary cash crunch
- Looking to negotiate a One-Time Settlement (OTS) with the current lender
- Need bridge funding to regularise an account before it escalates further
Why consider this funding route?
OTS negotiation support
We help structure and negotiate settlement terms with the existing lender.
Bridge refinancing
Fresh funding structured to clear or regularise the stressed account.
Turnaround assessment
Honest viability check before committing to a resolution path.
New-lender onboarding
Where viable, we identify lenders willing to take on a post-resolution account.
How it works
Account review
We assess how the account slipped and what resolution path is realistic.
Resolution strategy
OTS negotiation, refinancing, or a combination is proposed.
Lender engagement
We coordinate directly with the existing lender on settlement terms.
Closure & fresh start
Account regularised or settled; fresh credit access rebuilt where possible.
OTS Settlement Savings Estimator
Use the sliders below to get an indicative estimate. Final terms are subject to formal underwriting and lender / investor committee assessment.
Client experience
FAQs
Not every account is viable — we assess the underlying business honestly before proposing a path, rather than promising resolution upfront.
A One-Time Settlement is a negotiated reduced payoff that closes the loan account. We represent the borrower in structuring and negotiating these terms with the existing lender.
An OTS is typically reported as 'settled' rather than fully closed, which does affect credit history — we explain these trade-offs before you commit to a path.
Typically 5–10% of the proposed settlement amount, paid into a no-lien account to obtain the OTS letter and demonstrate genuine intent.
Check Eligibility
Submit details for NPA Funding. Our desk reviews profile variables and calls you back the same working day.