Unit 5. Making credit decisions

Exercise 1. Expand on the statements:

1. Man is known by the company he keeps. Proverb

2. Rome was not built in one day. Proverb

Exercise 2. Read the following international words and try to guess their meaning:

credit

policy

standard

character

history

capital

to grant

inventory

method

indicator

Exercise 3. Choose from the text the words with the following suffixes, place them in the alphabetical order and translate them.

- ment – суффикс существительного

- er – суффикс существительного

- tion– суффикс существительного

Exercise 4. Read the following words and word combinations. Use them in sentences of your own.

to meet the firm’s credit standards – соответствовать кредитным стандартам компании

to satisfy – удовлетворять

capacity – способность, возможность

collateral – обеспечение, дополнительное обеспечение

willingness to pay – готовность платить

to consider borrower’s past payment patterns – рассматривать прошлый порядок осуществления платежей заемщиком

to grant a credit – финансировать кредит

to liquidate – ликвидировать, выплачивать долги

to pay debts – платить долги

to evaluate potential customers – оценивать потенциальных клиентов

creditworthiness – кредитоспособность

credit scoring – присваивание кредитного балла

Exercise 5. Read the title of the text and predict the main ideas of the text.

Exercise 6. Read the text and find out:

1. Where can the customers receive credits?

2. What do we call the credit standards?

3. What are the 5Cs of Credit?

4. What does a good payment record show?

5. What is collateral?

6. How can the capital influence on taking a credit?

7. How can companies evaluate potential credit customers?