What is another word for uncollectable loans?
Pronunciation: [ʌnkəlˈɛktəbə͡l lˈə͡ʊnz] (IPA) 
Uncollectable loans are a major headache for financial institutions, causing losses and negatively impacting their balance sheets. To lessen the burden, lenders often use synonyms to describe these unpaid debts. Some of the common terms used include non-performing loans, bad debts, default loans, charge-offs, and write-offs. Non-performing loans refer to any loan that has not been paid in months or years, while bad debts are loans that are unlikely to be recovered. Charge-offs and write-offs both indicate that the loan has been deemed uncollectable and has been removed from the lender's books. By using these synonyms, financial institutions can communicate the status of their loans while avoiding the negative connotations of the term "uncollectable".
