Credit assessment in older documents also Credit rating (appraisal of creditworthiness, credit assessment, credit screening)

Unless otherwise defined, the assessment of a customer’s creditworthiness by the bank. This is an inherent responsibility of the institutions, which they have to perform in a competitive environment. The proposed transfer of credit assessment to an authority of whatever kind increases the risk of misallocation of money and thus of scarce resources; these no longer reach the best host (to the most favorable allocation of scarce resources). – See credit, reputation, rating, subsidiarity principle overconfidence.

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