Cryptocurrency Q&A
What are the 5 C's of lending?
What are the 5 C's of lending?
Thu Jan 09 2025
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7 answers
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I'm trying to understand the basics of lending and I came across the concept of the 5 C's of lending. I want to know what these 5 C's stand for and how they are relevant in the lending process.
7 answers
Sat Jan 11 2025
The five C's represent the CORE characteristics of credit evaluation for small-business borrowers.
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Sat Jan 11 2025
Conditions examine the external factors that could affect the borrower's ability to repay, such as market trends and economic conditions.
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Sat Jan 11 2025
Character refers to the personal and professional reputation of the borrower.
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Sat Jan 11 2025
Capacity assesses the borrower's ability to repay the loan based on their financial history and business performance.
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Sat Jan 11 2025
Capital evaluates the borrower's own investment in the business, which shows their commitment and risk-taking ability.
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