The credit risk department must pursue the following general objectives:
- That the risks of the financial institution are kept at reasonable levels that allow it to be profitable. Training of personnel in credit analysis that allows for solidity when issuing a criterion.
The main function of the departments and / or areas of credit risk is to determine the risk that the institution will grant to grant a certain credit and for this it is necessary to know through a careful analysis the financial statements of the client, analysis of the various points both qualitative as well as quantitative that together will allow to have a better vision on the client and the capacity to be able to pay said credit.
Objectives and functions of the credit risk area or department
- Maintain relatively low levels of a credit risk, in addition to allowing a good profitability and permanence of the same. Maintain personnel with constant training on the trends of the economies in the country and have constant training in the field of finance and financial decisions Create standard systems credit evaluation Conduct segment studies Detect those credits with higher-than-normal risks to monitor them more thoroughly Prepare an endless number of analyzes for future account executives Carry out sector studies Have bibliographic information available for possible queries, in addition to being up to date and up-to-date day of press publications regarding the macroeconomic movement and political and monetary trends.
