Working with credit issues in a bank or a credit institution is working with uncertainty. Are we making the right decision? What are the risks? Have I as an administrator assessed the risks correctly?
Many new employees testify that credit is the most difficult to learn in banking, even though the working method has changed a lot in recent years. Especially for credits is that it takes so long to see the outcome of the decision and to evaluate it. In December, therefore, we at CrediYes Financing are organizing a course in just this, read more about this!
Management of credit balances
If we look at the entire stock of credit, the complexity increases even more. Credit decisions must reflect many dimensions of customer behavior and lenders have plenty of available data. To manage the complexity, models are used to capture and distill all data. Choosing relevant and necessary data is necessary to make a credit decision. The model boils down the information to a number – a score. Risk models are at the heart of the credit process.
The credit department monitors the credit portfolio on an ongoing basis. A classic balance sheet is handled at the credit department; to both avoid accumulating bad credit but also to refrain from saying no to good credit requests. The most effective lenders are those who optimize the balance between bad credit and profit – within a defined risk appetite and available capital for the business.
Checking bad credit is important. And reducing bad credit is easy, but only if we see it in isolation. The risk is that you will not be able to grant credits that would have been profitable.
Portfolio Management Analytics
Working with credit strategies and models is an exciting and difficult area. Therefore, CrediYes Financing organizes a two-day seminar aimed at those who work with analysis and development of credit strategies. We do this in collaboration with Genard Hellan and Helda MCNeb; both world leaders in the field
Previous courses with Genard and Helda have quickly become fully booked, secure your place already today!
In normal cases, the courses take place in Bristol. Read more and register for the course here.