Credit and Lending Management

Unit code: BAO5746 | Study level: Postgraduate
Credit points
12
(Generally, 1 credit = 10 hours of classes and independent study.)
Location
City Campus
VU Sydney
Prerequisites
N/A
Overview
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Overview

The unit aims to provide an analysis of the various lending activities of Australian financial institutions and the legal principles related to these activities. Emphasis is placed on the assessment of credit proposals and the management of credit risk. Complex ideas and concepts related to credit policy, retail lending, commercial lending, corporate lending and corporate services and valuation of assets will be explored. In addition, methodologies related to structuring a loan, traditional techniques for credit analysis, distressed firm prediction and reviewing of the newer models of assessing credit risk e.g. term structure models, mortality models and option model will form part of this unit.

Learning Outcomes

On successful completion of this unit, students will be able to:

  1. Argue reasons for the lending activities of financial institutions and justify the risks associated with this activity;
  2. Critically review various leading facilities required by customers in a range of Australian and international financial institutions;
  3. Work collaboratively and interrogate the issues related to lending to various forms of legal form, including, individuals, corporations, partnerships, trusts and associations, and report recommendations; and
  4. Critically analyse and justify lending proposals of corporate, business, and consumer clients.

Assessment

For Melbourne campuses

Assessment type: Assignment
|
Grade: 10%
Group assignment - presentation
Assessment type: Assignment
|
Grade: 40%
Group assignment - written report.
Assessment type: Examination
|
Grade: 50%
Final examination

Required reading

Credit analysis and lending management
Sathye, M.M., & Bartle, J. (2017).| Mirabel Publishing.

As part of a course

This unit is not compulsory for any specific course. Depending on the course you study, this unit may be taken as an elective.

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