CHAPTER FIVE
Uses of Bank Funds—The Lending Function
CHAPTER STRUCTURE
Section III Financial Appraisal for Credit Decisions
Section IV Fund Based, Non Fund Based and Asset Based Lending
Section V Loan Pricing and Customer Profitability Analysis
Annexures I, II, III, IV, V (Case study)
KEy TAKEAwAyS FROm THE CHAPTER
- Understand why banks lend.
- Learn how banks lend—Principles of lending.
- Understand the process of making a loan from start to finish.
- Learn the fundamentals of credit appraisal.
- Understand how loans are priced.
- Understand how banks choose profitable customers.
SECTION I
BASIC CONCEPTS
Introduction
Assume that ...
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