Borrowers and products

A credit request begins with a legal borrower and a product whose terms the lending team understands. App Administrator maintains the borrower name, entity type, industry and relationship details. Credit Officer uses that record when preparing an application, so the review concerns the intended business and its existing lending relationship. A trading name in an attachment should be checked against the legal name before the request moves forward.

Admin maintains product parameters, including facility type, interest basis, default term and amount range. An equipment purchase and a revolving line can require different terms even when they belong to the same borrower. The selected product gives the team a starting point for review. Independent Credit Approver still decides the amount, rate and term for the application being considered.

• Borrower identity. Keep the borrower code, legal name and organization together. Record the contact who can answer questions about the application. Use the eligibility note to explain an issue that the officer needs to investigate before submission.
• Relationship context. Review the risk rating and relationship start date alongside the current request. An active borrower record gives the team a usable reference; it does not decide whether the next application should be approved.
• Product parameters. Maintain the product’s facility type, pricing basis and permitted amount range. When terms change, compare the new request with the current parameters and retain the application terms that were actually approved.

Choose who can create borrower records and who resolves possible duplicates. Agree how borrower codes map to existing customer references before importing a portfolio. Different organizations may deal with similarly named companies, so legal name alone should not determine the match. Confirm the organization, address and contact details with the person responsible for the relationship.

Define who maintains product parameters and how Credit Officer selects the appropriate product during preparation. Decide how to handle an inactive product or a request outside the normal range. Bring the exception to Independent Credit Approver through the agreed review route. Do not silently rewrite approved terms when an administrator updates the product catalog.

Rehearse an equipment request for a construction borrower that already has a working-capital loan. App Administrator confirms the legal entity and current risk rating. Credit Officer selects the equipment product and explains the requested term in the application. Independent Credit Approver compares the request with the existing relationship and decides the terms for this revision.

Repeat the exercise with a similarly named borrower in another organization. The officer should identify the right entity before attaching supporting material. Finish by changing a product’s default term and checking that the earlier application’s approved terms remain explainable. This exercise establishes who corrects reference data and who owns a lending decision.

• Active Borrowers — Find the borrowing entity, its risk rating and organization before starting a request.
• Active Loan Products — Admin checks the facility type, pricing basis and amount range used during setup.

Continue with application to credit decision, or agree the migration order before importing borrower records.