Credit Risk Management
For most financial institutions the credit portfolio will be the primary source of revenue generation—and potentially the source of major losses. This eleven-hour course will introduce the student to the role of commercial credit, an approach for managing the credit risk, and an overview of the commercial credit decision-making process. Commercial credit issues focus on the activities and actions associated with the commercial loan decision-making process. The class starts with a discussion of the role of banking/credit in the marketplace. Freshmen learn the tools and approaches used when making a commercial loan decision including the request, the gathering and analysis of information, loan structuring, and monitoring.
Credit Risk Management
The WSSB experience is intended to provide the student with an overview of key issues related to commercial lending.
The Credit Risk Management Intersession Project is intended to provide the student with an opportunity to understand the credit risks being taken by their institution and the impact on financial performance, now and into the future. After discussion with their senior lender, the student will select and analyze a real commercial credit from their bank. The student will prepare a credit memo with a summary of the request and the relationship, analysis of the borrower’s financial statements, and a recommendation for the loan and structuring. A credit memo format mat will be provided.
This interactive class will provide an opportunity to study and discuss “ethics” from the perspective of the students’ real life experiences, with facilitation from John’s extensive experience in the banking industry. The class will be dynamic and energetic, especially considering more recent challenges to ethical considerations and regulations in the past few years. You will learn a lot from one another. Come prepared to engage and be engaged.
John A. Sanchez
Retired Credit Professional and Instructor
John Sanchez brings over 40 years in banking, with a focus on lending and as a Senior Credit Officer with Century Bank, a Division Credit Manager with Bank of the West, and a Credit Products Officer with Bank of America. With a prior loan approval authority of 7.5 million dollars and a passion for teaching, John will instruct from his vast experience, knowledge, and ability to convey the most important aspects of Credit Risk Management. He will also facilitate an interactive discussion that draws on current student challenges about banking ethics.