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Credit and Collection Org. Chart

The credit and collection department will be composed of different teams led by a credit administrator. The assessment and approval team evaluates applicants and approves those able to meet obligations. The collection team is responsible for collecting outstanding client debt. The review team checks creditors' ability to pay on time. The risk management team develops policies to reduce risk and losses from nonpayment.

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Kimberly Ventura
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641 views2 pages

Credit and Collection Org. Chart

The credit and collection department will be composed of different teams led by a credit administrator. The assessment and approval team evaluates applicants and approves those able to meet obligations. The collection team is responsible for collecting outstanding client debt. The review team checks creditors' ability to pay on time. The risk management team develops policies to reduce risk and losses from nonpayment.

Uploaded by

Kimberly Ventura
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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1.

Create a sample structure and functions of a credit and collection units or


department.

The credit and collection department will be composed of different teams under the credit
administrator. The credit administrator is responsible for overseeing the entire department.
Each team has its own functions which is supervised by the head. The assessment and approval
team is responsible in assessing the background of the applicant, as well as approval, if he or
she will be able to meet their obligations. The collection team on the other hand, is responsible
for the collection of outstanding debt of company’s clients. The review team’s job is to check
the debt of the creditors, if they are able to pay on time. And lastly, the risk management
team’s duty is to mitigate the risk and losses if there is a scenario wherein the client couldn’t
pay its debt. It develops the policies that will help the company reduce its risk.

Ventura, Ace P. Credit and Collection FIMA 30063


2. Qualities of a good credit man based on your own opinion.
Credit man is defined by the Merriam webster as one who investigates the financial
standing of an individual or a firm to determine what credit should be extended. The qualities
of a good credit man in my opinion, is a person who is financially literate. First, he must know
the common terms or jargons that is used in credit. He must also know if the risk associated
with lending and has extensive knowledge about finance. He must also know if the company is
well performing or not. Another characteristic is that he must have a good communication skill,
because he will be talking to numerous clients, and positive interactions must be observed at all
times. If the client has positive interaction with the agent, they will develop also develop a
positive relationship which will result to less chances of getting bad debts. Lastly, a good credit
man must be organized and must be detail-oriented. Getting a credit requires many documents
to be reviewed, and there is no room to be careless because a single detail ignored will cause a
huge risk.

Ventura, Ace P. Credit and Collection FIMA 30063

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