credit risk

noun

1. the possibility of loss if a borrower defaults on a loan.
2. a borrower regarded as likely to default on a loan.

Example Sentences

But, the type of consumer is, Kevin King, vice president of credit risk and marketing strategy told Salon.

From Salon

“Cannabis is still an emerging market with a lot of credit risk,” Hill added.

From Seattle Times

“Late fees encourage timely payments, which in turn help card issuers both to manage credit risk and to lower costs, allowing them to offer more competitive terms and features,” the trade groups wrote in their complaint.

From New York Times

Trump obtained three of the loans through Deutsche Bank’s private wealth management unit, which offered lower interest rates than its commercial real estate division, and used his financial statements to show the bank he was wealthy and a good credit risk.

From Seattle Times

The deal is one of several such credit risk transfer transactions that U.S. banks are considering in the aftermath of a March crisis in the sector and as regulators look to increase capital they have to hold, bankers, lawyers and investors said.

From Reuters