Learning Objectives
By the end of this module, you will be able to:
Understand the Purpose and Structure of a Credit Paper
Recognise how credit papers support new lending, amendments and annual reviews.
Understand how well-structured, fact-based writing leads to faster and better-informed credit decisions.
Explain the purpose of a credit paper in presenting a clear recommendation to the relevant decision maker.
Know the Core Components of a Strong Credit Paper
Learn the key sections of a credit paper, including client overview, industry context, management capability, financial analysis, key risks, covenants, PD and LGD, security, alignment with credit policy and recommendations.
Understand how each section contributes to a balanced and complete credit assessment.
Apply a structured approach so the credit paper is clear, logical and easy to review.
Analyse and Interpret Financials
Use Statement of Profit or Loss, Statement of Financial Position and Statement of Cash Flows information to assess the client’s financial performance and position.
Identify financial trends, business drivers and red flags that may affect repayment capacity.
Apply forecast and downside sensitivity analysis to assess resilience under stress.
Communicate with Clarity and Purpose
Write concise, well-structured credit papers that focus on substance and insight.
Link financial performance to loan structure, identified risks and mitigants in a clear and logical way.
Present credit risks and recommendations in a professional and decision-ready format.
Apply Best Practices
Align your credit paper with the lender’s credit policies, risk appetite and commercial objectives.
Use covenants, security and structuring tools to strengthen the transaction and mitigate risk.
Deliver a professional credit paper that demonstrates both technical competence and commercial judgement.
