Credit is the provision of resources from one party to another, often in the form of a loan. Credit also refers to the delayed payment for the provision of goods or services. Credit will be offered to an individual or organisation who the provider judges to be financially stable.
In financial terms, credit is the provision of fund, typically in the form of a loan, from one party to another, where the receiving party does not repay this loan immediately. This results in a debt which the receiving party agrees to pay back at a later date, observing certain terms and conditions, not the least of which is the payment of interest as well as the original amount.
Credit Risk Analysts assess the risks involved in providing a loan to an individual, company or institution.
Typical tasks include:
Compiling statistics to assist in analysis.
Risk assessment analysis.
Advising on risk reduction.
Preparing and issuing regular reports.
Monitoring and assessing market trends.
Maintaining an expert knowledge of industry standards and government regulations.
Qualifications
Much of the training in credit is provided on the job. Some industry bodies, such as the Institute of Credit Management (ICM) provide professional qualifications.
Salary Snapshot
Recent salaries advertised on TopFinancialJobs (February 2010) include:
£40-45,000 per annum for a Credit Analyst working for a global banking institution in London.
£60-75,000 for a Credit Analyst working in Zurich for a commodities trading company.
Do you work in credit? Would you like to contribute to our "Day in the Life of..." series? Email us at info@topfinancialjobs.co.uk for more details.
