Collateral in Loan Classification and Provisioning /

Adequate loan classification practices are an essential part of a sound and effective credit risk-management process in a bank. Failure to identify deterioration in credit quality in a timely manner can aggravate and prolong the problem. Two key issues arise with regard to the use of collateral in t...

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Автор: Song, In
Формат: Журнал
Мова:English
Опубліковано: Washington, D.C. : International Monetary Fund, 2002.
Серія:IMF Working Papers; Working Paper ; No. 2002/122
Онлайн доступ:Full text available on IMF
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520 3 |a Adequate loan classification practices are an essential part of a sound and effective credit risk-management process in a bank. Failure to identify deterioration in credit quality in a timely manner can aggravate and prolong the problem. Two key issues arise with regard to the use of collateral in the context of loan classification and provisioning. In particular, the questions arise whether collateral should be taken into account in classifying a collateralized loan, and whether it should be considered in calculating provisions. This paper surveys country practices in the role of collateral in loan classification and provisioning, and suggests good practices on these issues. 
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830 0 |a IMF Working Papers; Working Paper ;  |v No. 2002/122 
856 4 0 |z Full text available on IMF  |u http://elibrary.imf.org/view/journals/001/2002/122/001.2002.issue-122-en.xml  |z IMF e-Library