Credit Risk Assessment 2
This module seeks to build on the knowledge from previous sessions and will concentrate on four key areas:
Module 1
Managing Risk
Can you maximise sales and effectively manage risk with your credit decisions? Do you consider
whether you are one of many suppliers or one of the major suppliers to your customer when granting
credit? Do you have effective ongoing risk assessment?
o The credit policy
o Being commercially minded
o Gathering the right information
o Understanding company accounts
o Working with a balance sheet
o The profit and loss account
o Scoring key ratios
o Setting credit limits
o Grading customers
o Determining low, medium and high risk
o On-going risk assessment
o Making credit decisions on new businesses
o Assessing different industries
o Why and how businesses fail
o Spotting warning signs
o Customer visits
Module 2
In-Depth Accounts Analysis and Credit Scoring
o Allocating effective scoring systems
o Monitoring performance
o Working with financial statements
o Scoring key ratios
o In-depth accounts analysis
o Working capital turnaround
o The cash flow statement
o Scoring for higher commercial risk
o Insolvency signposts
o Bad debt autopsy
Module 3
Economic Forecasts for Credit Professionals
o Reviewing the indicators
o The full impact of debt
o Economic trends
o Strategic forecasting
o Improving your advice to your company
Module 4
Consumer Credit Risk
o Debt counseling
o Create your own consumer credit scoring model
o Security for Consumers
o Information sources and responsibilities under Data Protection Legislation
o Money laundering
Module 1
Managing Risk
Can you maximise sales and effectively manage risk with your credit decisions? Do you consider
whether you are one of many suppliers or one of the major suppliers to your customer when granting
credit? Do you have effective ongoing risk assessment?
o The credit policy
o Being commercially minded
o Gathering the right information
o Understanding company accounts
o Working with a balance sheet
o The profit and loss account
o Scoring key ratios
o Setting credit limits
o Grading customers
o Determining low, medium and high risk
o On-going risk assessment
o Making credit decisions on new businesses
o Assessing different industries
o Why and how businesses fail
o Spotting warning signs
o Customer visits
Module 2
In-Depth Accounts Analysis and Credit Scoring
o Allocating effective scoring systems
o Monitoring performance
o Working with financial statements
o Scoring key ratios
o In-depth accounts analysis
o Working capital turnaround
o The cash flow statement
o Scoring for higher commercial risk
o Insolvency signposts
o Bad debt autopsy
Module 3
Economic Forecasts for Credit Professionals
o Reviewing the indicators
o The full impact of debt
o Economic trends
o Strategic forecasting
o Improving your advice to your company
Module 4
Consumer Credit Risk
o Debt counseling
o Create your own consumer credit scoring model
o Security for Consumers
o Information sources and responsibilities under Data Protection Legislation
o Money laundering