Welcome to creditappraisal.in – the only website that caters exclusively to credit officers and financial analysts working in banks
- Credit officers
- Financial analysts
- Advances officers
- Loan appraising officers
- Chartered Accountants who prepare CMA data for their clients
- MBA Finance and Commerce students aspiring for career in banking sector
Among all departments in commercial banks, the credit/ advances department is the most important department, considering that income is generated from the advance accounts. That is why many banks have their corporate and industrial finance department numbered as 1.
It is also the most challenging department to work in. Some of the highest positions including CMDs and EDs are occupied by those who had extensive exposure in credit. How can a CMD with more than Rs. 50 crore sanctioning power at his discretion cannot be good at advances? But not just CMDs and EDs, as one goes up the hierarchy from JM I to MM II and so on till General Manager, at every level knowledge of credit is given vital importance. A banker with good grasp of credit concepts has a distinct edge in promotion interviews.
But even to do the day-to-day work in credit department, the officer needs clear conceptual knowledge in credit appraisal and balance sheet analysis. This will help them in following ways:
Why does a credit officer need to be proficient in credit appraisal?
- Know how to identify a good proposal from a tricky proposal
- Know how to spot danger signals and avoid getting into complex scenarios such as getting Staff Accountability Study in your name some 5 years from now when the loan turns bad
- How to save yourself by smartly stipulating strong terms and conditions
- Discharging your duty efficiently
- Earning respect from your clients and colleagues due to your knowledge in credit
Understanding credit appraisal and balance sheet analysis are skills every credit officer should possess. Without these critical skills, you can still do your job but there are huge risks. The most important risk is everyone around you is smart as follows :
What are the risks in the job of a credit officer?
- Customers – they know how to present financials that appear strong so that bankers will be satisfied
- Chartered Accountants – they know how to prepare CMA data and application data so that it conforms to the banking norms
- Your superior officers know how to sanction risky loans by carefully ensuring that all blame is on the processing officer and recommending officer rather than on him/her
- Inspections such as RBI, SIFA, LFAR, etc. officials know where to catch faults of the processing officers
With so many forces against credit officers, you need to be thorough in all aspects of credit appraisal. You need a proper, formal course that covers the basics, the intricacies and advanced aspects of credit appraisal. You need thorough knowledge of areas such as the following :
Areas of credit appraisal all credit officers need to be thorough in:
- Accounting basics coupled with knowledge on the all important matching concept
- Financial statements – Profit and LOss account, Balance sheet, Cash Flow statement
- Knowledge of every item appearing in Profit and Loss Account such as sales, raw material, power, labour, manufacturing expenses, depreciation, work-in-progress, selling expenses, interest expense, non-operating expenses, provision for taxation
- Knowledge of every item appearing in Balance sheet such as capital, term liabilities, unsecured loans, share application money, deferred tax liability, current liabilities, current assets, fixed assets,non-current assets, intangible assets
- Knowledge of key credit concepts such as project cost, means of finance, term loan eligibility, DSCR, sensitivity analysis, asset coverage ratio, break-even analysis, internal rate of return, term loan disbursement, term loan monitoring, working capital assessment, NWC, current ratio, holding levels, excess drawals, adhoc limit, drawing power, diversion of funds,non-fund limits, ratio analysis
How we help you
The task is enormous – but here at creditappraisal.in we take a structured approach, step-by-step in this challenging task. We have two products – (i) a book on balance sheet analysis and credit appraisal and (ii) video lectures on balance sheet analysis and credit appraisal
The sheer size and exhaustive coverage of these materials is a testimony to the excruciating pain we have taken in covering each and every aspect of credit appraisal. Nowhere else you can find this range of information. The videos are total 77 in number with total duration of 43 hours. It is huge. Each and every topic a credit officer needs to know starting from meeting with the customer with face to face interview, what questions to ask during this preliminary meeting right upto processing, sanction, post-sanction monitoring are covered in detail. The book with 752 pages covers all these aspects in printed form.
Who are our past customers?
- Credit officers working in various banks. Our past buyers include bankers from :
- Bank of Baroda
- Canara Bank
- Bank of India
- Union Bank of India
- Indian Overseas Bank
- Allahabad Bank
- UCO Bank
- Corporation Bank
- ICICI Bank
- IDBI Bank
- HDFC Bank
- Andhra Bank
- Vijaya Bank
- Federal Bank
- Lakshmi Vilas Bank
- Jammu and Kashmir Bank
These are the resources on this site :
- – Total number of videos – 77
- – Total duration of all videos – 43 hours (2,580 minutes)
- – Total size of all videos – 3.08 GB (3,153 MB)
- – Watch 5 free sample videos
- – Comprehensive coverage – number of pages – 752
- – 18 chapters covering all aspects of credit appraisal used in banks including term loan appraisal, working capital assessment, ratio analysis, balance sheet analysis
- – Read sample sections from the book
- – new posts added regularly
- – posts cover various aspects of advances, credit appraisal, balance sheet analysis, video lectures and other useful resources
- – comments feature for discussion
- – vast repository of interesting articles on balance sheet analysis and credit appraisal
- – articles under various heads such as balance sheet, cash flow statement, accounting, ratio analysis, working capital, DSCR, loan monitoring, MSME, etc.
- – new articles added regularly
- – list of must have books for officers working in advances and those interested in credit
The e-book “Balance Sheet Analysis and Credit Appraisal for bankers” is now on sale.
Download sample sections here
Click on the image below for more details.
The video lectures on “Balance Sheet Analysis and Credit Appraisal for bankers” is now on sale.
Watch sample videos here
Click on the image below for more details
MBA Finance and Commerce students – learn credit appraisal for jobs as Financial Analysts, Credit Analysts in banks and also for doing well in campus interviews
- if you are a MBA Finance or Commerce students aspiring for job in commercial banks, there are plenty of openings today in banks. The various jobs for you include Financial Analysts, Credit Officers, Technical Officers and Loan officers
- Many banks are taking direct Scale II cadre and posting them as Financial Analysts by conducting campus interviews in MBA and Commerce colleges
- The primary role in these jobs is credit analysis. This includes balance sheet analysis, corporate credit analysis, financial management and loans and advances
- Bookish knowledge from MBA course or studying Financial Management from Pandey or Prasanna Chandra is not at all sufficient. In interviews, banks look for whether your concepts are clear in the areas of ratio analysis, financial management, credit analysis, credit management, credit risk management
- Take our course to equip yourself with the right skills to make you get closer to bank jobs as credit analysts
- This is a course prepared by me, who like you am a MBA Finance graduate and then got into banking sector. I worked in key areas of credit analysis. Look at “About us” page for my credentials