Credit Analyst Interview Question:

Explain me how Would You Handle an Important, Long-Time Business Client Seeking a Loan Your Risk Assessment Tells You Is not Safe for the Bank to Make?

Submitted by: Muhammad

This can be a key issue, since maintaining good client relationships with important corporate clients is essential to a bank's success. A bank does not want to risk losing a multimillion dollar client over one loan application, but neither does it wish to make loans it does not believe can reasonably be paid back. How you answer this type of question will display your ability to handle customer relations well and offer creative solutions for clients, while not endangering the bank's position as a lender. Therefore, a good answer might be something like, "I would offer a smaller loan amount I believe the bank could safely extend, and then let the client know the exact steps it could take to allow me to extend it further credit, and offer to meet with it to review the situation at some appropriate point in the future to consider a larger loan."
Submitted by: Muhammad