Achieving The Integrity of Bank’s Credit Approval Process Through CCR:
There is urgent need for the high-profile corporate bodies that extends business and financial credits to their customers to outsource some aspects of their credit management assessment process. The one most relevant is that of assessing customer’s creditworthiness through an impartial independent company credit report. Before management decides whether or not to approve a creditline or engage in a business relationship with another company or an entity, there must be a strong determination as to whether or not the potential business customer or borrower will be able to be honest in the transaction. Providing independent objective assessment of the creditworthiness on such a company helps management to make decisions more objectively and impartially.
As business lending opportunities become more diversed, it is equally difficult to decide which borrowing company is good for a safe and sound credit business transaction engagement…..With the outsourced company credit report, management will be able to measure the ability and willingness of a business credit customer to keep its financial commitments. Such report (not the type provided by the credit bureaus and certainly not the typical credit rating), when placed side by side with your own internal credit appraisal process, ensures a robust access to a web of information on the business credit customer, resulting in a safe and sound creditworthiness assessment, good facility monitoring and future debt recovery prospect.
Within international best practices, outsourced company credit report is adjudged to be a comprehensive major tool which can help in determining company’s ability to honor its debt responsibilities; thus, the report is an indicative of a measure of the subject’s ability and willingness to repay debt. or do business ethically and with integrity.