system not only allows banks ensure their profitability

- Reliability. The system must operate continuously and smoothly. - Optimality. Optimum control system characterized establishment between the elements of rational relations at all levels. - Cost. Cost includes obtaining the necessary result in minimum cost [23,26,55]. Credit risk management system not only allows banks ensure their profitability and efficiency lending, but Advancing the bank loan is its role in the circulation... selengkapnya »

Credit risk management system must meet certain requirements.

Credit risk management system must meet certain requirements. Among them: - Integrity. The control system should be consistent, because violation of integrity may change the relationships between parts system and its operation mechanism. - Resistance. The control system must remain effective in to external and internal factors. - Commitment. Commitment involves the development of goals and objectives and ways to achieve... selengkapnya »

implementation of proper analytical

dnoshennya return and risk. The purpose of this activity is to create conditions creditor protection by setting limits and diversification of loan terms, implementation of proper analytical diagnosis of the financial condition of the borrower, which should include analysis of the client's cash flow and a comprehensive analysis of its creditworthiness, the choice of the optimal form of collateral. [21] Credit risk is an integral... selengkapnya »

decreased in profitability banking sector

in the course of their activities. Its appearance is caused, first of all, delayed detection of problem loans and the lack of established under these provisions, and the imperfection of credit control in banks. Increasing interest in the assessment of the credit risk associated with an increase the loan portfolio of banks decreased in profitability banking sector, prompting banks to take on high credit risks. All this has caused... selengkapnya »

the urgency of improving

in the course of their activities. Its appearance is caused, first of all, delayed detection of problem loans and the lack of established under these provisions, and the imperfection of credit control in banks. Increasing interest in the assessment of the credit risk associated with an increase the loan portfolio of banks decreased in profitability banking sector, prompting banks to take on high credit risks. All this has caused... selengkapnya »

The basis of modern banking is to optimize

Strict and consistent adherence to these stages will allow more carefully monitor the credit process and, consequently, provide quality of the loan portfolio and, consequently, the effectiveness of banking institution as a whole [64]. 1.3 The system of credit risk management of commercial bank The basis of modern banking is to optimize the parameters risks causing the need for an integrated approach to the creation of management.... selengkapnya »

been engaged with the client after receiving his loan

In the loan agreement provided as is usually some force majeure circumstances that give guarantee banks and customers in the event of losses due to circumstances beyond their control. At the fifth stage, the bank has been engaged with the client after receiving his loan. This work provides for enforcement loan agreement and the search for new forms of cooperation with the client. In the case of deterioration of the financial situation... selengkapnya »