Kane Garland
The Importance of Credit Risk Review (CRR)
Just as credit risk management plays a crucial role in maintaining the financial stability and operational integrity of financial institutions, credit risk review (CRR) plays a crucial role in ensuring that credit risk management can identify, mitigate, and monitor risk in a timely and proactive manner. In addition, the Federal Reserve (FRB), the Office of…
Credit Risk Review:Â More than Loans
Credit risk refers to the potential loss arising from the failure of a borrower or counterparty to fulfill its financial obligations. While the primary focus of credit risk review historically centered on lending portfolios, U.S. interagency regulatory guidance is clear in its requirement that an effective credit risk review function also assess credit risk arising…
Complimentary Functions:Â Credit Risk Review and Internal Audit
One of the greatest challenges at many financial institutions is establishing the boundary between credit risk review (CRR) and internal audit (IA) functions. This is especially poignant as regulatory guidance allows for a wide degree of variance based on the specific organizational structure, size and policies. While some overlap may exist in credit review and…