| Topic : Credit Risk |
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Posted in Community :
Credit Risk Management
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Activity:
17 views;
last activity : 07 06 2010 20:18:09 +0000
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Expected Loss
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Assesing the quality of burrower
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Quantify the Credit Risk
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Expected loss is the probable amount of losses per period a credit company must anticipate and this can be well know by Credit Risk Scorecard.
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No supporting Arguments for this idea
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Determining the quality of the borrower to default a loan payment is a responsibility of the lending institution. The ability of the lending company to measure credit risks brings improvement to the risk management capability of the company.
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No supporting Arguments for this idea
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This is used to quantify the credit risk and to be able to determine the amount of capital to be held in reserve so that the lending company can keep its solvent state and financial stability.
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No supporting Arguments for this idea
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