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credit risk

   Also found in: Wikipedia 0.01 sec.
Credit risk
The risk that an issuer of debt securities or a borrower may default on its obligations, or that the payment may not be made on a negotiable instrument. Related: Default risk.

credit risk
The risk that a borrower will be unable to make payment of interest or principal in a timely manner.


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The federal bank and thrift institution regulatory agencies announced on October 27, 2004, the publication of a joint Federal Register notice and request for comment on proposed guidance for Internal Ratings-Based Systems for Retail Credit Risk for Regulatory Capital.
Moody's (New York) has agreed to acquire KMV (San Francisco, CA), a credit risk management technology firm, from management and the company's founders for $210 million in cash.
Disclosures about off-balance-sheet exposures and credit risk concentrations are the FASB's targets.
 
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