Credit Approval Or Decline Report – Comprehensive Analysis And Justification

Credit Approval Or Decline Report – Comprehensive Analysis And Justification

Question

Evaluation of assignments

1. Check the customer scenarios assigned to you.
2. Customer profiles, credit histories, credit ratings, balance sheets, and other relevant information presented or obtained during credit checks are provided.
3. Assume you are a loan officer. A customer in a scenario applies for a loan.
4. Analyze the information provided and evaluate whether to approve or reject the requested loan.

A comprehensive report must be provided detailing the analysis and justification for approval or rejection of the assigned scenarios (the report must include at least the three items listed below). must be included).

Learn how to apply the 5Cs of credit and credit rating/score information made available to experienced users to realistic customer scenarios to approve or deny loan requests. Since this is an integral part of the bank salesperson’s job description, learners will get their first exercise on the subject here.

As you complete your analysis, consider and rate all six C’s of the lending process and comment on each. In the evaluation:

Analyze your current rating, past ratings, and creditworthiness, and write a description of how this information influences your approval or rejection decision

Calculate the GDS and TDS ratio based on your application. New Loans

Comments on Employment History and Tenure

Job Stability

Shows how this information influences decisions

Analyze your assets, your savings habits, your liabilities, your debt types, their pros and cons, and their impact on the lending process

What you can use as collateral

Other things Can be proposed as collateral

Reasons for providing answers

Career prospects, payment history, savings ability, money management skills, spending habits, borrowing, credit dependence

Criteria for commenting on economic conditions and how they affect employment and lending. Economic terms of the type of loan requested

Approve or reject the loan?

Reason for approval or rejection

When the loan is approved : ACCEPTANCE CONDITIONS Specified credit may be added

Type of credit granted if alternative credit to requested credit is offered

Insurance requirements

Security Requirements

Fixed or Revolving Credits< br >< br>You must set up a savings program

Everything else (e.g. debt consolidation all in one)

IF YOU REJECT THE LOAN – All the alternatives and suggestions we offer to the customer (If denied, please understand that this is a difficult situation for any customer.) Don’t forget)

Reapply Future

Save more money

Clean up your credit score

Everything else

Please try to stay creative and continue to support your customers

What other banking products do you recommend for this customer at this time that are applicable to this situation or customer? .

Insurance

Savings products

Transfer products to banks >
Other products (investments, accounts, annuities, credit products)