10+ Credit Relationship Manager Interview Questions and Answers

PL stands for Personal Loan and Mortgage is a loan taken against a property.

• PL is an unsecured loan that can be used for any purpose.

• Mortgage is a secured loan where the property is used as collateral.

• PL interest rates are higher than mortgage rates.

• Mortgage is a long-term loan with a fixed or adjustable interest rate.

• PL is a short-term loan with a fixed interest rate.

• Examples of PL include credit card debt consolidation, home renovation, or medical expenses.

• Examples of mortg...read more

Fluctuations in ratios for a company can significantly impact credit decisions in a bank.

• Fluctuations in ratios provide insights into the financial health and stability of a company.

• Negative fluctuations in key ratios such as debt-to-equity ratio or interest coverage ratio may indicate increased credit risk.

• Positive fluctuations in profitability ratios like return on assets or return on equity may enhance creditworthiness.

• Banks may adjust credit terms, interest rates, or loan...read more

The particular item is found in the liabilities section of the balance sheet.

• Liabilities section of the balance sheet

• Opposite of assets

• Includes debts and obligations

CBIL stands for Coronavirus Business Interruption Loan. It is a loan scheme introduced by the UK government to support small and medium-sized businesses affected by the COVID-19 pandemic.

• CBIL is a loan scheme introduced by the UK government to support small and medium-sized businesses affected by the COVID-19 pandemic.

• It provides financial support to businesses that are losing revenue or experiencing cash flow disruptions due to the pandemic.

• The scheme offers loans of up to £...read more

DTI stands for Debt-to-Income ratio and FOIR stands for Fixed Obligation to Income ratio.

• DTI is a measure of how much debt a person has compared to their income.

• FOIR is a measure of how much of a person's income is already committed to fixed obligations like rent or loan payments.

• Both ratios are used by lenders to assess a borrower's ability to repay a loan.

• A high DTI or FOIR may indicate that a borrower is at risk of defaulting on a loan.

• For example, if a borrower has a mont...read more

Yes, I am able to work pan India and have experience managing credit relationships across different regions.

• I have successfully managed credit relationships with clients in multiple states across India.

• I am familiar with the different regulations and business practices in various regions of India.

• I have a flexible work schedule and am willing to travel as needed to meet with clients across the country.

Sub mean in CIBIL refers to the credit score calculated by CIBIL for individuals with limited credit history.

• Sub mean is used by CIBIL to assess the creditworthiness of individuals with insufficient credit history.

• It is a subset of the overall credit score and may be lower due to lack of credit history.

• Lenders may consider other factors in addition to the sub mean score when evaluating credit applications.

• For example, a young individual with limited credit history may have a ...read more

Journal entry for Credit Relationship Manager position

• Identify the accounts involved (e.g. Cash, Accounts Receivable, Sales)

• Determine the type of transaction (e.g. sale of goods, payment of expenses)

• Debit and credit the appropriate accounts based on the transaction

• Ensure the accounting equation (Assets = Liabilities + Equity) remains balanced

My current CTC is $60,000 per year.

• My current CTC is $60,000 per year

• I am currently earning $5,000 per month

• My annual salary is $60,000