Credit Evaluation School, Sacramento, CA

Other Considerations • Loans where management has no expertise • Loans that require special handling or controls • Abnormal amount of loans involving out of territory borrowers • Loans involving brokered deposits or link financing UNACCEPTABLE OR HIGH RISK LOANS

ITEMS NEEDED TO REVIEW FILE Credit File Information • Financial Analysis • Review and consideration of six “Ps” • Historical financial data and trends • Nature and degree of collateral • Capacity to retire debt in accordance with specified terms • Financial responsibility • Credit reports