Glossary · Finance & banking
DPD (Days Past Due) meaning
DPD means days past due: how many days a loan repayment has stayed unpaid after its due date. How Indian lenders count it, DPD buckets and a worked EMI example.
How is DPD counted?
DPD starts the day after a payment falls due and is not paid in full. If several instalments are unpaid, the count runs from the oldest one, so a borrower with two missed EMIs is not "5 days late" just because the latest EMI was due five days ago.
The RBI's November 2021 clarification on asset classification says accounts are flagged overdue in the lender's day-end process for the due date, and that the classification date is the calendar date for which that day-end process is run. Its own example: a loan due on 31 March 2021 that stays unpaid becomes SMA-1 on 30 April, SMA-2 on 30 May and NPA on 29 June 2021. The same circular says an NPA can be upgraded to standard only once all arrears of interest and principal are paid.
What are DPD buckets?
A DPD bucket is a band of days past due used to organise collections. Bucket names vary by lender; the bands below are the common pattern, and our guide to delinquency bucket meaning explains the names in detail.
| DPD | Common internal name | Regulatory class (term loans) |
|---|---|---|
| 0 | Current | Standard |
| 1 to 30 | X bucket or Bucket 1 | SMA-0 |
| 31 to 60 | Bucket 2 | SMA-1 |
| 61 to 90 | Bucket 3 | SMA-2 |
| Over 90 | 90+ | NPA for banks; NBFCs follow their applicable norms |
Worked example: two missed EMIs
Illustrative numbers only. An EMI of ₹12,000 is due on the 5th of every month.
- The 5 January EMI is not paid. On 20 January, DPD is 15.
- The 5 February EMI is also missed. On 10 February, DPD is 36, counted from 5 January, not 5.
- On 12 February the borrower pays ₹12,000. If the lender applies it to the oldest dues, January is cleared, the oldest unpaid EMI becomes 5 February and DPD drops to 7.
How payments are appropriated depends on the loan agreement and the lender's policy, so confirm it with the lender rather than assuming.
What do people get wrong about DPD?
- DPD vs EMIs overdue. Some teams name buckets by the number of EMIs missed. Two EMIs overdue and 36 DPD can describe the same account, so write down which one your reports use.
- Thinking a part payment resets DPD. If any part of the oldest instalment stays unpaid, the account is still overdue.
- Reading a credit report. On bureau reports, "000" or "STD" generally means no overdue in that month, while "XXX" usually means nothing was reported. Each bureau explains its codes on the report itself.
- Different day-zero dates. If collections count from the presentation date and the loan system counts from the due date, reminders go out late. Our guide to collection strategy by DPD bucket shows how each band is worked.
Because early buckets hold the most curable accounts, collections software by DPD bucket such as AutoCollect ranks accounts by propensity to pay and sends reminders and payment links on WhatsApp before and after the due date, within contact-hour rules.
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Where this shows up in our work. AutoCollect: Accounts ranked by propensity to pay; WhatsApp links, voice agents and field visits inside contact-hour rules. Book a 30-minute working session with an engineer.
Questions
What does DPD 30 mean?
DPD 30 means the oldest unpaid repayment on the loan is 30 days past its due date. Under RBI's day-end rule, a term loan overdue since 31 March is tagged SMA-1 at the day-end run on 30 April, after 30 days continuously overdue.
What is DPD in a CIBIL report?
It is the month-by-month record of how many days past due each loan was, as reported by the lender. A figure of 000 generally means the account was paid on time that month; the bureau explains its codes on the report.
How can I remove DPD from my credit report?
Accurate repayment history cannot simply be removed; it stays as reported. If a DPD entry is wrong, raise a dispute with the credit bureau and the lender, and keep payment proofs. Confirm the process on the bureau's official website.