RiskFits

Underwriting

Policy, analysis, credit limits, guarantees and the decision workflow.

For credit teams · Underwriting

Automated Credit Decisioning: What to Automate and What to Keep Manual

How to design an automated credit decisioning workflow: stages, decision rules, what should escalate to a human, and the metrics that show whether it works.

4 min read
For credit teams · Underwriting

Business Credit Analysis: Step by Step

How to underwrite a business customer: entity verification, public records, financial ratios, payment behavior, industry context and how to write the credit memo.

4 min read
For credit teams · Underwriting

Collateral and Guarantees in Trade Credit

Types of security in B2B credit — personal guarantee, UCC filing, purchase money security interest, letters of credit and trade credit insurance — and when to require each.

4 min read
For credit teams · Underwriting

Credit Approval Authority: How to Set Sign-Off Levels

What credit approval authority is, how to build the sign-off matrix by dollar amount and risk, and how to keep the credit committee from becoming a sales bottleneck.

4 min read
For credit teams · Underwriting

The 5 C's of Credit: How to Apply Them in Real Underwriting

Character, capacity, capital, collateral and conditions — what each of the 5 C's of credit means in practice and how to turn them into objective underwriting criteria.

4 min read
For credit teams · Underwriting

How Credit Scoring Models Work

How a credit scoring model is built: variables, weights, cutoff bands, calibration, and the difference between a bureau score and an internal behavior score.

3 min read
For credit teams · Underwriting

How to Set a Customer Credit Limit: 4 Methods

Four methods to calculate a B2B credit limit — percentage of revenue, ability to pay, portfolio concentration cap and score-based tiers — with formulas and when to use each.

4 min read
For credit teams · Underwriting

How to Write a Credit Policy: A Step-by-Step Guide

How to write your company's credit policy: risk appetite, customer segments, underwriting criteria, credit limits, approval authority, exceptions and review. With a document outline.

5 min read
For credit teams · Underwriting

Reading Financial Statements for Credit Decisions

How to read a balance sheet and income statement for credit: liquidity, leverage, profitability and the cash conversion cycle, with reference ranges and red flags.

3 min read