non-performing

IPA/nˈɒnpəfˈɔːmɪŋ/
KK[nɑnpɚfˈɔrmɪŋ]IPA/nɑːnpərfˈɔːrmɪŋ/

non-performing — adjective

1. used for a loan, investment, or business asset that is no longer bringing in the

1.adjectiveC1
Definition

used for a loan, investment, or business asset that is no longer bringing in the money or repayment people expected from it.

Example

The bank sold its non-performing loans to another company last year.

non-performing + loan

After six quiet months, the hotel became a non-performing asset for Ezra.

became a non-performing asset

Common collocations
  • non-performing loan
  • non-performing asset
  • non-performing investment
  • non-performing shares
  • non-performing branch
  • become non-performing
  • remain non-performing
Synonyms
  • underperforming

    broader and less technical; it can describe people, teams, or companies, not only financial assets

  • unprofitable

    stronger on losing money; 'non-performing' can also focus on missing an expected repayment or return

  • defaulted

    narrower and mainly used for loans where required payments have not been made

Antonyms

Grammar Patterns

non-performing + loan / asset / investment

become / remain non-performing

Usage Note

Usually used before nouns such as loan, asset, share, or branch in business and finance writing. It often suggests that expected income or repayment has stopped or has fallen well below what was hoped for.

Common Mistakes

My non-performing employee missed two deadlines.
My underperforming employee missed two deadlines.
'Non-performing' is mainly used for loans, investments, or business assets, not for a person at work.

Word family

Synonym discussion

Sense: adjective/1

'Non-performing' is a formal finance term for a loan, asset, or business unit that is no longer giving the return people expected. 'Underperforming' is broader and less technical: a shop, football team, or employee can all be underperforming. 'Unprofitable' focuses on the bottom line and usually means something is not making money. 'Defaulted' is narrower still and normally applies to a loan or bond after required payments have been missed. 'Loss-making' is often used for a company, route, or branch that costs more to run than it earns. A bank may call a loan non-performing before it describes the whole branch as loss-making.

underperforming ↗unprofitable ↗defaulted ↗loss-making ↗

Common collocations

Nouns

Phrases

  • become non-performing
  • remain non-performing
  • turn non-performing

Etymology

LatinFrenchEnglish

This adjective combines the negative prefix 'non-' with 'performing', from the verb 'perform'. The base verb came into English through French from Latin-based forms meaning 'carry out' or 'complete'. In modern business English, 'non-performing' became a technical label for loans, assets, and investments that stop producing the income, repayment, or return people expected.