35 years: Corporate banking
In this second part of the series, Paul provides an overview of the three Cs for assessing the creditworthiness of a potential borrower. He also explains the PARTS framework.
In this second part of the series, Paul provides an overview of the three Cs for assessing the creditworthiness of a potential borrower. He also explains the PARTS framework.
11 mins 54 secs
The three Cs and PARTS framework are useful tools for assessing the creditworthiness of a potential borrower. These frameworks can be used to assess both individuals and firms alike.
Key learning objectives:
Outline the 3Cs used to assess the creditworthiness of a potential borrower
Understand the PARTS acronym and describe how it is used to assess creditworthiness
Identify how banks determine the capital behind a borrower