Periodically update and review credit-worthiness of existing borrowers by middle office

Which function of credit process under HKMA credit approval process guideline does the above paragraph describes?

Select one:

a. Credit strategy and policy

b. Credit evaluation, approval and review

c. Credit administration

d. Credit initiation

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Question 62

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Credit measurement and monitoring is a function performed by different levels. Among them, Board of Director is to

Select one:

a. monitor individual accounts; recommends changes in internal credit rating and provisions

b. oversee credit monitoring on a portfolio basis; may review large or connected exposures

c. monitor limits and other risk parameters; grades the problem accounts

d. support the process through measurement and reporting of credit risk exposures for management function

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Question 63

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Credit measurement and monitoring is a function performed by different levels. Among them, Front office is to

Select one:

a. support the process through measurement and reporting of credit risk exposures for management function

b. monitor limits and other risk parameters; grades the problem accounts

c. monitor individual accounts; recommends changes in internal credit rating and provisions

d. oversee credit monitoring on a portfolio basis; may review large or connected exposures

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Question 64

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Credit measurement and monitoring is a function performed by different levels. Among them, Middle office is to

Select one:

a. monitor limits and other risk parameters; grades the problem accounts

b. monitor individual accounts; recommends changes in internal credit rating and provisions

c. support the process through measurement and reporting of credit risk exposures for management function

d. oversee credit monitoring on a portfolio basis; may review large or connected exposures

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Question 65

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Credit measurement and monitoring is a function performed by different levels. Among them, Back office is to

Select one:

a. monitor limits and other risk parameters; grades the problem accounts

b. monitor individual accounts; recommends changes in internal credit rating and provisions

c. support the process through measurement and reporting of credit risk exposures for management function

d. oversee credit monitoring on a portfolio basis; may review large or connected exposures

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Question 66

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Which of the followings is the most crucial before the approved secured loans are granted into borrowers account?

Select one:

a. The loan officer has to conduct a interview with the borrower

b. The borrower has to fill out a loan application

c. To check and confirm the security is pledged as collateral

d. To translate Board of Directors strategy into actual policies and procedures