Creditworthiness is acknowledged worldwide as focal point of debt processing. Credit Rate, an output of credit-rating process, reflects such creditworthiness. We reviewed literature on elements of credit rating, viz. Credit Rate, credit-rating agencies (CRAs) and credit-rating model. Credit...

Creditworthiness is acknowledged worldwide as focal point of debt processing. Credit Rate, an output of credit-rating process, reflects such creditworthiness. We reviewed literature on elements of credit rating, viz. Credit Rate, credit-rating agencies (CRAs) and credit-rating model. Credit...

We provide an assessment of the Basel Committee on Banking Supervision (BCBS) proposal to restrict the internal ratings-based approach on bank risk and to introduce risk-weighted asset floors. If well enforced, risk-sensitive capital regulation results in a more efficient credit allocation...

We provide an assessment of the Basel Committee on Banking Supervision (BCBS) proposal to restrict the internal ratings-based approach on bank risk and to introduce risk-weighted asset floors. If well enforced, risk-sensitive capital regulation results in a more efficient credit allocation...

Banks use internal models to optimize risk weights and better account for the specific risk of each asset class. As the choice of a set of risk weights directly amounts to affecting the regulatory capital ratio, economic theory suggests that banks should optimize their risk weights also with...

This article suggested method of probability estimation of defaults in the retail. This method is based on the clustering of borrowers depending on the level of credit risk and satisfying international standards of credit risk. Performed testing methodology on the example of some regions of the...

In this paper, the author presents ways to evaluate the rating of commercial entities based on logit model. On this basis were determined the ranges of financial security and was set the probability of failure of these firms in Romania.