Credit Underwriting
About Credit Underwriting
The process through which the lender determines whether a borrower is creditworthy and deserving of a loan is known as underwriting. The key to good portfolio quality is an efficient underwriting and loan approval procedure, and one of the major responsibilities of the function is to minimize unnecessary risks.
Why is Credit Underwriting important?
By appropriately valuing investment risk, underwriting contributes to the establishment of suitable premiums, the creation of a market for securities, and the setting of reasonable borrowing rates for loans. A financial specialist known as an underwriter examines your financial situation and determines the level of risk that a lender will accept if they decide to grant you a loan.
Who should take the Credit Underwriting Exam?
- Loan Processors
- Underwriters
- Finance Professional
- Commercial bankers
- Credit analysts
Credit Underwriting Certification Course Outline
- Introduction to Credit
- How and Why Is Credit Used
- Sources of Funding
- Why is Debt a Lower Risk Source of Funding than Equity
- Types and Features of Credit
- The Credit Process & Analysis Fundamentals