Description
Qualitative Analysis and Determining Credit Risk Rating Details
4 courses | 6hrs | Credits: 8.0 CLBB; 3.75 CERP
These four courses cover qualitative analysis and how to assess industry, market and management risks. Learn the role of loan policy and the need to summarize the borrower’s various risks into an appropriate credit risk rating, as well as risk-related aspects behind BSA-AML regulations.
Audience: Commercial and/or Business bankers and Credit Analysts
Courses included in the Qualitative Analysis and Determining a Credit Risk Rating curriculum are;
- The Commercial Lending Process and Initial Business Development Calls
- Credit Investigation and Assessing Nonfinancial Risk
- Loan Policies and Procedure, Including Credit Risk Ratings
- Overview of Loan Packages Components and Annual Reviews
Course Learning Objectives:
After completing these courses, students will be able to:
The Commercial Lending Process and Initial Business Development Calls
- Explain why the commercial lending process is necessary
- Recognize the process and types of information business bankers should acquire during a business development call
Credit Investigation and Assessing Nonfinancial Risk
- Explain the importance of a credit investigation and describe what it entails
- Identify industry, market, and management risks, and other direct and indirect risks that can affect a borrower
Loan Policies and Procedure, Including Credit Risk Ratings
- Describe how a bank’s organizational structure affects the lending function
- Identify the key elements of a credit risk rating
- Describe the loan review process as an independent validation of risk ratings and other commercial lending issues
Overview of Loan Packages Components and Annual Reviews
- Identify typical components of a commercial loan package and memorandum
- Describe the simpler format, timing, and administration of annual reviews for commercial loans