To lend or not to lend...

The decision to approve a loan is often fraught with difficulties – both financial and political. And if the client is one of the bank's largest, the situation is complicated still further. David Boorer looks at the steps credit risk analysts need to take before okaying a loan.

In the 1980s, the UK’s TSB bank marketed itself as “the bank that likes to say yes”. This is probably one of the reasons it was bought by another UK bank, Lloyds, in the 1990s – saying yes to the wrong borrowers is a sure-fire way of losing money.

Every bank employs, or at least should employ, people who like to say no just as much as TSB liked to say yes. But just as in advertising – half of it works but nobody knows which half – a foolproof method of saying yes only on the right occasion has

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to View our subscription options

Most read articles loading...

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here