Credit Risk Assessment The New Lending System for Borrowers, Lenders, and Investors

by Abrahams, Clark R.; Zhang, Mingyuan

• ISBN13: 9780470461686
• ISBN10: 0470461683
• Edition: 1st
• Format: Hardcover
• Copyright: 2009-04-06
• Publisher: Wiley

Summary

This book provides a comprehensive credit assessment framework for small business and consumer lending, and explains how this framework can be implemented to improve a financial institution's credit assessment system. It will discuss how the comprehensive credit assessment framework can extend existing credit scoring to embrace all relevant factors and business context so that lenders can classify credit risk and decision all transaction in an effective, transparent, and forward-looking manner. The tentative contents is: (1) Subprime Crisis; (2) Development of Credit Scoring; (3) The Underwriting Gap; (4) Comprehensive Credit Assessment Framework; (5) Hybrid Models; (6) Alternative Data; (7) Safe and sound lending practices.

Author Biography

CLARK ABRAHAMS is Chief Financial Architect at SAS, where he leads business and product development. He has over thirty years of experience in the financial services industry with corporations including Bank of America and Fair Isaac Corporation.

MINGYUAN ZHANG, PhD, is Principal Consultant at SAS. He has over ten years of experience in developing and implementing economic forecasting, data mining, and financial risk management solutions for thefinancial services industry.

Table of Contents

Preface	p. ix
Unpacking the Financial Crisis	p. 1
The Case for a Comprehensive Credit Assessment Framework	p. 41
The Lender and the Underwriting Gap	p. 107
The Borrower and Loan Affordability	p. 161
The Investor and Financial Innovation	p. 207
Crisis Intervention and Prevention	p. 255
Index	p. 301
Table of Contents provided by Ingram. All Rights Reserved.