Learning Objectives
By the end of this module, you will be able to:
Understand the Purpose and Structure of a Credit Paper
Explain how a credit paper supports commercial credit assessment and informed credit decision-making.
Understand how a clear, evidence-based credit paper enables a credit decision-maker to assess a lending request.
Recognise the credit analyst’s role in presenting a balanced, objective and supportable credit recommendation.
Understand the Core Components of a Strong Credit Paper
Understand the key sections of a commercial credit paper.
Integrate borrower, financial, risk, facility, security and covenant analysis.
Structure the credit paper logically so the analysis builds towards and supports the final recommendation.
Analyse and Interpret Financial Information
Analyse Profit & Loss, Balance Sheet and Cash Flow information to assess financial performance, position and repayment capacity.
Identify material financial trends, business drivers and risks that may affect creditworthiness.
Assess forecast performance, cash flow and downside resilience to support the overall credit assessment.
Communicate with Clarity and Purpose
Write concise, well-structured credit analysis focused on material information.
Link financial performance, repayment capacity, risks and mitigants in a clear and logical way.
Present a clear, evidence-based credit recommendation in a professional, decision-ready format.
Apply Credit Principles and Best Practices
Apply relevant credit principles, PD, LGD, policy considerations and sound commercial judgement.
Assess whether facility structure, repayment terms, security and covenants are appropriate for the borrower and transaction.
Balance quantitative and qualitative analysis to form a clear, professional and supportable credit view.
