Credit Management glossary

• Ageing balance
• Assignment of receivables to liabilities
• Bank guarantee
• Bankruptcy / De jure insolvency
• Bill of exchange / Draft
• Buyer
• Buyer credit
• Cancellation of an option
• Cash against documents
• Catastrophic risk
• Cause of loss
• Commercial paper
• Commercial risk
• Commitments
• Consultation threshold
• Contract notification
• Contractual Risk
• Covenant
• Cover on outstanding order
• Cover rate
• Cover request
• Credit insurance
• Credit limit / Credit line
• Credit management
• Credit need
• Credit risk
• Credit scoring
• Customer credit
• Days of Sales Outstanding (DSO)
• De facto insolvency / Payment default
• De jure insolvency / Bankruptcy
• Declaration of Potential Loss (DPL)
• Default status
• Discounting
• Dispute warrant
• Documentary credit
• Due receivables
• Economic Risk
• Escrow Account
• Exclusion
• Factor / Member
• Factoring
• Financial Risk
• Forfaiting
• Forfaiting house
• Fronting
• Guarantee commitment
• Guarantee on loss overrun
• Guaranteed credits outstanding
• Guarantor undertaking risk
• Injunction to pay
• Inquiry costs
• Insolvency
• Intermediate Balance
• International Chamber of Commerce (ICC)
• Letter of comfort
• Liquidity ratio
• Loss
• Loss account
• Loss ratio
• Material Adverse Change (MAC)
• Mortgage
• Non-Indemnifiable Losses (NIL)
• Non-transfer risk
• OFP
• Option
• Overall credit insurance policy
• Payment on collection basis
• Percentage of cover
• Pledged Asset
• Political risk
• Premium minimum
• Promissory note
• Qualified debts
• Questioning threshold
• Request for intervention
• Satisfaction rate
• Standard conditions of payment
• Standby
• Swift bank transfer
• Theoretical outstanding
• Turnover ratio
• Unnamed buyer's clause
• Working capital
• Working capital requirements