Credit Evaluation School eBook

Description of Collateral

• Type of Collateral • Examples: Real Estate, Inventory, Accounts Receivable, Automobiles, etc. • Location of Collateral (out of trade area) • Appraised value or estimated value

Description of Collateral •Note if estimates of the value higher or lower than appraised value •Note if internal or external appraisal & date of valuation if pertinent to classification •Specialized collateral or work in progress may need special consideration •Appraisal violations should be noted only