Top Considerations Credit Application

In lending to customers there are some considerations or principles of assessment administration with a view to providing confidence and to avoid things that are not desirable in the future when the credit can be given. To minimize the risk of lending to borrowers need to know the principles or considerations in the credit assessment.

According to Kashmir (2000:105-110) that needs to be considered is the principle 5C and 7P are:

a. Principle 7 P

1. Personality

Ie assess clients in terms of personality or behavior daily and his past. Personality also includes emotional attitudes, behaviors and customers in the face of a problem.

2. Party

Ie classifying customers into a particular classification or certain groups based on loyalty and equity characteristics. So that customers can be classified certain kegolongan and will get a different facility from the bank. That porpose to know customers in taking credit, including the type of loan desired customers.

3. Prospect

That is to assess the client's business in the future profitable or not, or in other words have a prospect or vice versa. If a credit facility funded without having prospects, not only banks but also the loss of customers.

4. Peyment

Is a measure of how customers repay loans that have been taken or of any source of funds for repayment.

5. Profitability

To analyze how the for-profit clients. Profitability is measured from whatever period will remain the same or will increase, if the additional credit to be obtained.

6. Pretection

The goal is to keep the business and get a guarantee of protection. Protection can be a guarantee or warranty of goods or insurance.

b. Principle 5 C

1. Character

A belief that, the nature or character of the people who will be given credit really can be trusted, it is reflected from the background work and a personal nature.

2. Capacity

The ability to see clients in the areas of business are attributed to its ability in understanding of government regulations. Similarly, the ability to run its business, including those owned. Will essentially look "ability" to repay outstanding loans.

3. Capital

To see if it's effective use of capital, seen from the financial statements (balance sheet income statement) by performing such measurements in terms of liquidity, solfabilitas, earnings, capital must also be seen from the source where the existing capital sajua this Sekang.

4. Colleteral

Given an assurance client that is physical Colan maupu non-physical. Guarantees should be through the amount of credit granted. Jamianan also be examined to absahannya, so if there is a problem, then the guarantee deposited will be used as soon as possible.

5. Condition

In assessing the credit should also be assessed the current economic conditions and future possibilities for the corresponding sectors respectively, as well as due to the business prospects of the sector are implemented. Assessment of business prospects financed field should really have good prospects, so the possibility of such credits bernasahkan relatively small.