10 Questions
The length of time remaining before a financial contract expires and can be given in years, months or days is referred to as?
False
Should the account be denied, what notice shall likewise be sent?
False
What does the presentation of the credit facilities that will be granted to a client refer to?
False
What must repayment mode and tenor be based on?
False
Which document contains the highlights of the credit proposal?
False
In structuring the terms and conditions of a credit transaction, the fund matching principle must be observed.
True
The credit approval process should not be based on a system of checks and balances.
False
Prudent credit practice requires that persons empowered with the credit approval authority should also have the customer relationship responsibility.
False
It would be imprudent to require approval of two officers on a credit application, regardless of the nature and size of credit.
False
An officer's initials or signature is not considered their own unique password.
False
Test your knowledge on loan packaging and approval process, including factors to consider in structuring credit terms, loan negotiation items, and understanding concepts like maturity and tenor.
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