Credit Risk Modeling & its Application in Banks

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Course Overview

What You'll Learn

  • Designed for learners seeking to analyze, calculate, and evaluate core credit risk components, the course begins by establishing a conceptual foundation for credit risk and its growing importance post-financial crises.
  • Through real-world examples and step-by-step breakdowns, learners will gain a strong grasp of key modeling inputs such as Probability of Default (PD), Loss Given Default (LGD), and Exposure at Default (EAD).
  • They will also learn how to compute expected loss, differentiate between settlement and pre-settlement risk, and assess the practical challenges that arise due to model assumptions and data limitations.

This course provides a structured and practical introduction to credit risk modeling with a focus on its application in banking and financial institutions. Designed for learners seeking to analyze, calculate, and evaluate core credit risk components, the course begins by establishing a conceptual foundation for credit risk and its growing importance post-financial crises. Through real-world examples and step-by-step breakdowns, learners will gain a strong grasp of key modeling inputs such as Probability of Default (PD), Loss Given Default (LGD), and Exposure at Default (EAD). They will also learn how to compute expected loss, differentiate between settlement and pre-settlement risk, and assess the practical challenges that arise due to model assumptions and data limitations. By the end of the course, learners will be equipped to interpret and apply credit risk metrics, support risk-based decision-making, and align modeling outputs with capital adequacy and regulatory requirements in a financial services context.

Course FAQs

Is this an accredited online course?

Accreditation for 'Credit Risk Modeling & its Application in Banks' is determined by the provider, EDUCBA. For online college courses or degree programs, we strongly recommend you verify the accreditation status directly on the provider's website to ensure it meets your requirements.

Can this course be used for continuing education credits?

Many of the courses listed on our platform are suitable for professional continuing education. However, acceptance for credit varies by state and licensing board. Please confirm with your board and {course.provider} that this specific course qualifies.

How do I enroll in this online school program?

To enroll, click the 'ENROLL NOW' button on this page. You will be taken to the official page for 'Credit Risk Modeling & its Application in Banks' on the EDUCBA online class platform, where you can complete your registration.