Udemy

Platform

English

Language

Investing & Trading

Category

Banking Credit Analysis Process (for Bankers)

Course for Bankers, Consultants and managers to Understand Credit Analysis Process from Indian Context.

4.50 (1581 reviews)

Students

35 hours

Content

Jun 2021

Last Update
Regular Price

EXCLUSIVE OFFER
Exclusive  Offer
Unlimited access to 30 000 Premium SkillShare courses
30-DAY FREE TRIAL

What you will learn

Understand What is Credit Analysis

How to evaluate Credit Proposal

How to analyse Financial Statements

How to analyse Term loan Projects

Understand What is Project Financing

How to arrive at Working Capital

What is Working Capital Cycle

What is letter of Credit

What is Bank Guarantee

Understand, Detailed Process of Credit Analysis


Description

Are you struggling in understanding banking credit related matters like Financial Ratio Analysis, Cash Flow and Fund Flow Analysis, Working Capital Assessment and products like Cash Credit, Letter of Credit, Bank Guarantee, Buyers Credit, Term Loan appraisal covering Debt Equity Analysis, DSCR, FOIR, etc.?

Are you a Finance Professional working on Project Funding for your clients?

Are you finding it difficult to write down a comprehensive loan proposal?

Are you a Banker aspiring to rise to top in your career?

Then this course is for you - Banking Credit Analysis Process.

Why you should take this course?

  • Credit Analysis is the core process adopted by any Bank to understand, evaluate and appreciate about the Customers Identity, Integrity, Financial Position, - Repayment Capacity, Etc.         

  • Every Banker should be thorough with Credit Analysis Process because day in day out they have to deal with new customers and before sanctioning any new loans to them, Banker should have made detailed study of their customers.

  • No Banker can raise to top unless he becomes conversant with Credit Analysis Process. 

  • Bank would generally throw employees on to the job before they get opportunity to be trained. This is with more specific reference to Credit Analysis where Bankers should under detailed learning process, else their mistakes in the process will be Very Costly beyond their manageable Position.

  • Hence, this course will provide platform to Bankers to have fall back reference on the Critical Aspects of Credit Analysis Process.  Banking/ Management Consultants can also use this course for the equipping themselves to the expectations of the Bankers while handling Credit Proposals. 

  • By taking this course, you will be able to Write Bank Loan Proposals with better clarity and confidence.

  • You will understand various technical matters written in Bank Loan Proposals.

What you will learn by taking this course?

By taking this course, you will be exposed to

Sec 1 - Introduction to Credit Analysis

Sec 2 - Financial Statements reading skill

Sec 3 - How to write Loan Proposal - Introduction

Sec 4 - Financial Ratio Analysis

Sec 5 - Performance and Financial Indicators Analysis in Loan Proposal

Sec 6 - Fund Flow Analysis for Identifying Diversion of Funds

Sec 7 - Cash Flow Analysis for Understanding Cash Generation and Movement

Sec 8 - Inter-firm Comparison, Internal & External Rating and Review of Conduct of Accounts

Sec 9 - Review of Audit Reports, Compliances, Contingencies and Risk Factors

Sec 10 - Finer Pricing, Review of Defaulters List & Loan Polichy

Sec 11 - Types of Business Loans

Sec 12 - Working Capital

Sec 13 - Cash Credit

Sec 14 - Non Fund Based Credit Facilities

Sec 15 - Letter of Credit

Sec 16 - Bank Guarantee

Sec 17 - Project Report

Sec 18 - Term Loan Appraisal

Sec 19 - DSCR & FOIR Computation in Term Loan

Sec 20 - Break Even Analysis

Sec 21 - Sensitivity Analysis

Sec 22 - Credit Rating

Sec 23 - Credit Scoring

Sec 24 - Key Analysis by Bankers

Sec 25 - Marginal Cost of Funds based Lending Rate (MCLR)

Sec 26 - Export Credit

Sec 27 - Terms of Payment in Export Transactions

Sec 28 - Export Finance

Sec 29 - CMA  (Credit Monitoring Arrangement)

Sec 30 - Computerised Accounting System

Sec 31 -  Banking Operations

Sec 32 -  Operational Aspects of KYC

Sec 33 - Loan Accounts

Sec 34 -  Quiz

Sec 35 - Import Finance

Sec 36- Other Banking Products

How this course is structured?

This  course is structured in self paced learning style. Each and every section of this course is broken down as various micro lectures and then they are substantiated with examples and case studies. Several real world examples are used in this course through case studies. You'll gain authority on each and every topic as i take you through lectures one by one. This  course is presented in simple language with examples. This course has  video lectures (with writings on Black / Green Board / Note book / Talking head, etc).  You would feel you are attending a real class.

What are the pre-requisites for taking this course?

You would require  good internet connection for interruption free learning process - You can approach this course with fresh mind.

How this course will benefit you?

At the end of the course, you will be able to approach credit related matters in your bank with high level of confidence and solve real life problems at ease.


Screenshots

Banking Credit Analysis Process (for Bankers)
Banking Credit Analysis Process (for Bankers)
Banking Credit Analysis Process (for Bankers)
Banking Credit Analysis Process (for Bankers)

Content

Introduction to Banking Credit Analysis Process

Why Credit Analysis Required

Know Your Customers

Know Customer Integrity

Know Performance Efficiency

Know Financial Position and ability to Pay Back

Know about Industry

Legal and Valuation of Securities

Why Past Loans Matter

Financial Statements Reading Skill

Financial Statements

Income Statement and Balance Sheet

Sources and Uses of Funds

Financial Statement Making Process

Difference between Income, Liability, Expense and Assets

Profit and Cash

Structure of Balance Sheet

What is important in Reading Balance Sheet

Second Balance Sheet Reading Skill Understanding Liquidity Position

Third Balance Sheet Reading Skill - Performance Measurement

How to write Bank Loan Proposal - Introduction

Introduction

Capture Borrower Profile

Write Brief Background of Borrower

Industry / Sector of Borrwer Write Up

Proposal request Template Format

Credit Limits Table Formulation

Group Exposure Table and Interpretation

Banking Arrangement and Sharing Pattern

Analysis of Financial Ratios

Introduction to Ratio Analysis (Talking Head)

Classification of Ratio (Talking Head)

Introduction to Liqudity Ratio (Talking Head)

Classification of Liqudity Ratio (Talking Head)

Current Ratio (Talking Head)

Quick Ratio (Talking Head)

Ideal Current Ratio and Quick Ratio (Talking Head)

Absolute liqudity Ratio (Talking Head)

Basic Defense interval Ratio (Talking Head)

Capital Structure Ratios (Talking Head )

Turn over Ratio (Talking Head )

Inventory Turn over Ratio (Talking Head )

Debtors Turn over Ratio (Talking Head)

Creditors Turn over Ratio (Talking Head)

Inventory Holding Period (Talking Head)

Debtors Collection Period (Talking Head)

Creditors Payment Period (Talking Head)

Case Study 1 Ratio Analysis (Talking Head)

Case Study 2 Ratio Analysis (Talking Head)

Case Study 3 Ratio Analysis (Talking Head)

Case Study 4 Ratio Analysis (Talking Head)

Debt Service Coverage Ratio (Talking Head)

Interest Coverage Ratio (Talking Head)

Preference Dividend Coverage Ratio (Talking Head)

Capital Gearing Ratio (Talking Head)

Profitability Ratio (Talking Head)

General Profitability Ratio (Talking Head)

Return on Investment Ratios (Talking Head)

Various Ratio for Equity Share holders (Talking Head)

Market Value Ratios (Talking Head)

Summary and limitation of Ratio Analysis (Talking Head)

Performance and Financial Indicators Analysis in Loan Proposal

Sales Movement Analysis while writing Loan Proposal

Export Sales Movement

Analysis of Raw Material Cost

Analysis of Power Cost

Analysis of Direct Labour Cost

Analysis of Selling, General & Admin Cost

Analysis of Operating Profit

Analysis of Profit and Profitability

Analysis of Cash Accruals

Analysis of PBDIT and Interest Coverage Ratio

Analysis of Paid Up Capital

Analysis of TNW, Adjusted TNW and TOL / TNW in Loan Proposal

Analysis of Current Ratio and Net Working Capital in Loan Proposal

Analysis of Debt Service Coverage Ration (DSCR) in Loan Proposal

Analysis of Efficiency Ratios in Loan Proposal

Comments on Performance and Financial Indicators

Fund Flow Analysis for Identifying Diversion of Funds

Introduction to Fund Flow Analysis (Talking Head)

Importance of Fund Flow Analysis (Talking Head)

Fund Flow Through some Numbers (Talking Head)

Fund Flow Through Digram (Talking Head)

How to identify long term Sources and Uses (Talking Head)

Example of Long Term Source And Uses (Talking Head)

Standard Format of Fund Flow Statement (Talking Head)

Fund Flow Analysis Case Study

Fund Flow Statement Analysis of Real Case

Deficit Analysis in Fund Flow Statement

Estimate vs Actuals analysis in Fund Flow Statement

Comprehensive Analysis 1 of Fund Flow Statement

Comprehensive Analysis 2 of Fund Flow Statement

Comprehensive Analysis 3 of Fund Flow Statement

Cash Flow Analysis for Understanding Cash Generation and Movement

Cash Flow Statement Introduction (Talking Head)

Cash Flows from Various Activities (Talking Head)

Cash Flow Statement Direct Method (Talking Head)

Cash Flow Statement Indirect Method (Talking Head)

Case Study 1 Cash flow study (Talking Head)

Case Study 2 Cash flow study (Talking Head)

Case Study 3 Cash flow study (Talking Head)

Cash Flow Analysis in Loan Proposal

Cash Flow Analysis in Loan Proposal 2

Cash Flow Analysis in Loan Proposal 3

Cash Flow Analysis in Loan Proposal 4

Interfirm Comparison, Internal & External Rating and Review of Conduct of Accoun

Inter firm Comparison in Loan Proposal

Inter firm Comparison in Loan Proposal Case 1

Internal Rating in Loan Proposal

Internal Rating in Loan Proposal - More Insights

External Rating in Loan Proposal

Review of Conduct of Accounts in Loan Proposal

Review of Cash Credit Account

Review of Term Loan Accounts

Review of Letter of Credit Facility

Review of Bank Guarantee

Review of Audit Reports, Compliances, Contingencies and Risk Factors

Review of Warning Signals and Audit Reports in Loan Proposal

Review of Compliance of Financial Covenants & Sanction Conditions

Review of Contingent Liabilities and Statutory Dues

Addressing Risk and Mitigating Factors

Finer Pricing, Review of Defaulters List & Loan Policy

Finer Pricing

Defaulters List

Loan Policy

Types of Business Loans

Types of Bank Loans for Business

Bank Loans for New Projects

Loans available in banking channel

Working Capital

Working Capital Loans

Working Capital Cycle

Tandon Committee Recommendations on Working Capital Assessment

Working Capital Assessement as per Nayak Committee

Review of Assessed Bank Finance

Working Capital Cycle Analysis

Cash Credit

Understanding Cash Credit

Cash Credit Example

Cash Credit

Assessment of Cash Credit - ABF Method

Assessment of Cash Credit - Conservative Method

Drawing Power Computation from Stock Statement

Assessment of CC Book Debts

Non Fund Based Credit Facilities

What and Why of Non Fund Based Credit Facilities?

Letter of Credit

Letter of Credit

Documents involved in Letter of Credit

Types of Letter of Credit

General aspects related to LC

Assessment of Letter of Credit

Letter of Credit (Old Lecture)

LC Computation (Old Lecture)

Assessment of Letter of Credit Limit

Bank Guarantee

What is Bank Guarantee?

Types of Bank Guarantee

Bid Bond Guarantee

Advance Payment Guarantee

Appraisal and Assessement o BG Limits

Bank Guarantee (Old Lecture)

Types of Bank Guarantees (Old Lecture)

What is Bid Bond Guarantee?

Maintenance bond / guarantee

What is Retention Money Guarantee?

What is Advance payment Guarantee?

Project Report

Basics of Project Report

Term Loan Appraisal

Why Business entities should go for Term Loan?

Term Loan Appraisal By Banks

Term Loan - Nature of Project

What is TEV Study?

Technical Viability of Project

Financial Viability of Project

Economic Viability of Project

Commercial Viability of Project

Managerial aspects of Project

Compliance aspects of Project

Cost of Project and Means of Finance under Term Loan Appraisal

Land Cost and related inputs under cost of Project - Term Loan Appraisal

Building Cost and related inputs under cost of Project -Term Loan Appraisal

Plant and Machinery Cost and related inputs under cost of Project -Term Loan App

Technical Know how and related inputs under cost of Project -Term Loan Appraisal

Preliminary Expenses and related inputs under cost of Project -Term Loan Apprais

Pre-operative Expenses and related inputs under cost of Project -Term Loan Appra

Provision for Contingencies and related inputs under cost of Project -Term Loan

Working Capital Margin and related inputs under cost of Project -Term Loan Appra

General aspects related to estimation of Cost of Project - Term Loan Appraisal

Introduction of Sources of Finance - Term Loan Appraisal

Share Capital as source of Finance - Term Loan Appraisal

Internal Accruals as source of Finance - Term Loan Appraisal

Subsidies as source of Finance - Term Loan Appraisal

Debenture as source of Finance - Term Loan Appraisal

Term Loan as source of Finance - Term Loan Appraisal

Unsecured Loans as source of Finance - Term Loan Appraisal

Project Implementation Schedule

Production Factors - Term Loan Appraisal

Manufacturing Process - Term Loan Appraisal

Other Production Factors - Term Loan Appraisal

DSCR & FOIR Computation in Term Loan

DSCR Computation in Term Loan

Analysis of DSCR (Gross Average & Net Average)

Analysis of DSCR 2 (Gross Average & Net Average)

Term Loan Eligibility Calculation

FOIR Computation in Term Loan

Project Viability - Case Study

Break Even Analysis

Break Even Analysis

Break Even Point Example

Break Even Point Graph

Break Even Test by Bankers

Cash Break Even Analysis

Break Even Analysis Case 1 in Term Loan Appraisal

Break Even Analysis Case 2 in Term Loan Appraisal

Sensitivity Analysis

Sensitivity Analysis in Term Loan Appraisal

Sensitivity Analysis Sales Drop Testing Case 1 in Term Loan Appraisal

Sensitivity Analysis Variable Cost Increase Testing Case 2 in Term Loan Appraisa

Sensitivity Analysis Material Cost Increase Testing Case 3 in Term Loan Appraisa

Sensitivity Analysis DSCR Testing Case 4 in Term Loan Appraisal

Credit Rating

ECRA

Default

Credit Rating Scale

Importance of Credit Rating Scale

Credit Scoring

Credit Scoring & Credit Score

What is Good Credit Score?

What is CIBIL?

Factors affecting CIBIL Score

How to improve Credit Score?

What is CIBIL Score?

Reasons for Poor Credit Score

Mistakes in Credit Scoring

How to correct your Credit Score?

Key Analysis by Bankers

Why Bankers reluctant to sanction Working Capital Facility?

Why Bankers are running after seeing this Balance Sheet?

Why Current Ratio of atleast 1.33 is insisted by Bankers?

What are Current Assets and Current Liability?

How Bankers Understand Long Term Stability of Business?

Return on Investment Case Study

Importance of Debt to Equity Ratio

Preference Share Capital

Why Banks are insisting on Margins on Loans

Why Banks insist on Financial Statements

How Sales analysis made by Banker

Marginal Cost of Funds based Lending Rate (MCLR)

What & Why of MCLR

Calculation of MCLR

Misc. Items related to MCLR

Export Credit

Export Credit

Preshipment Credit

Assessment of Preshipment Credit

Terms of Payment in Export Transactions

Introduction to Terms of Payment

Advance Payment

Documentary Credit

Parties in Documentary Credits

Details included in Letter of Credit

Practical Mechanism in Letter of Credit

Different Kinds of Letters of Credit

Export Finance

Introduction to Export Finance

Preshipment Finance - Packing Credit

Advance against Incentives

Preshipment Credit in Foreign Currency

Postshipment Finance

Negotiation of Export Documents under Letter of Credit

Purchase or Discount of Foreign Bills

Advance against bills sent on collection

Advance against goods sent on consignement

Advance against Export Incentives

Advance against undrawn balances and retrention money

Post shipment credit in Foreign Currency

CMA

CMA Introduction

CMA - Operating Statement

Capturing Past Data from Audited Financial Statements

Analysing Previous Years Income Statement

Analysing Previous Year Liability Statement

Analysing Previous Years Asset Statement

COMPUTERISED ACCOUNTING SYSTEM

Introduction

Classification of comp

Features

Terms used

Differences

Adv and Disadv

Functions of CAS

Comp scope in banking

Why compl automation

Centralised Infra

Core bank and benefits

Tech architecture CBS

Flow of transaction

Information Security

SOP PC LAPTOP

Pwd Mgmt Policy

BANKING OPERATIONS

Introduction

Functions of bank

Main functions of bank

Front office and Back office

Outsourcing activities

Operational Instructions in Banks

Banking Operations Manual

OPERATIONAL ASPECTS KYC

Operational aspects of KYC Norms

KYC Norms - Customer Acceptance Policy

KYC Norms - Customer Identification Procedure

KYC Monitoring Transaction

KYC Risk Management

Selecting Additional information KYC

Norms for Periodic Updation of KYC

KYC Relaxatio

eKYC

Customer Service in Banks

ATM Transactions

Recent Changes in customer Service - RBI

BCSBI

LOAN ACCOUNTS

Introduction

Technical Term

Technical Term 2

Priority Sector 3

Technical Term 4

Basic Rate

Fixed & Floating Rate

Penal Rate of Interest

Security

Document of title to Goods & Bankers General Lien

Negative lien , Restriction Advances, Rehabilitation & Recovery

Operational Process of loan in Banks

Methods for Assessment of loans

Accounting aspects of loan Products

Basic Operating Instructions on Loan Products

Operating Manual for C & A

Simple Operating Procedure

Documentation & Margin

VALUATION

Marketability

Insurance

Godown Pledged Accounts

Pledging of stocks

Unpledged Goods Stored in Pledged Goods Godown

Delivery of Stock Pledged

Submission of Stock Statements

Goods Hypothecated lying with Unhypothecated Goods

Inspection of Stock

SIP

Inspating official comment in SIR

SA

Inspection Charge

Quiz

Test your knowledge in Understanding financial statements- A Conceptual Approach

Test your knowledge in Financing Working Capital Requirements

Test your knowledge in Fund Flow And Cash Flow Analysis

Test your knowledge in Understanding profit and loss account items

Test Your knowledge in Understanding Balance sheet

Test your knowledge in Analysis of financial statement

Import Finance

What is Buyers Credit

Discontinuation of Letter of Undertaking / Letter of Comfort for Trade Finance

Other Banking Products

What is Stand By Letter of Credit?

Bonus Lecture


Reviews

S
Santosh10 October 2020

Most of the time the sound was not coming well. It would be better to stand in front and give information. The information given from the picture also seems to be effective. But most of the time the voice was coming very slowly.

N
Nikhil20 September 2020

Amazing Course. Raja Sir teaching is mind-blowing. All contents are crystal clear and explained briefly. Banking and Finance Concepts covered in brief.

C
CARINE26 August 2020

I am an economist, so I was aware about some of this lesson like how to prepare the income statement, the balance sheet etc. As a banker, this course helps me to be focus on what it is so important to understand before giving a credit to the client. what should I know first to avoid any risk of repayment.

A
Arvind7 August 2020

This course helps me to build my knowledge about the Banking Credit Analysis and how to read the financial statements.

S
Saurabh6 July 2020

Absolutely rubbish content. And he is repeating on ething again and again, too much slow pace. No real life or practical examples, he is just talking theory. Rubbish and worst course I have ever seen. Get lost

V
Vijaykumar21 January 2020

Excellent course for everyone working as branch manager or credit officer. cost of course is reasonable. strongly recommend this course. teaching style is excellent. concepts are explained with examples and very simple language used. Thank you very much RAJA SIR.

$
$Ophie6310 January 2020

reaffirming what I know and it is also helping me with new ways to speak to my customers and with better explanations of why we collect all the information

E
Emran4 December 2019

Only few chapter completed, well & expecting after completing few more slide it will be more helpful for me.

R
Ravi23 October 2019

The concepts are explained well and made easy to understand. The practical aspect of concept is also a great help.

S
Sue4 October 2019

It is in general what I'm hoping for. If some of the words were clearly spoken it would have been better.

S
Srinivas10 August 2019

having worked in retail branch banking, working directly in credit & forex is a dream for me rather handling at branch indirectly.

S
Sabir18 July 2019

What a great course!! The author has perfect knowledge being a qualified chartered accountant. This course is not only for bankers, I would recommend for all people have interest in accounting. Very comprehensive course. Great knowledge at very affordable price.

B
Bede24 June 2019

Payment was made; however i wasn't able to complete the course as i was logged out by UDEMY Audio issues

R
Rahul15 June 2019

More real life case studies, at least 2 or 3 sample cases where all techniques applies. A complete underwriting process from beginning to end.

P
Priscilla15 April 2019

The topics are clearly explained. I have a better understanding of doing a check on customer's integrity.


Coupons

DateDiscountStatus
5/16/202095% OFFExpired
11/30/202093% OFFExpired

260066

Udemy ID

7/12/2014

Course created date

2/6/2020

Course Indexed date
Bot
Course Submitted by

Twitter
Telegram