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credit risk

noun [C or U]
 
 

Definition

a calculation of how likely it is that a person or company will not be able to pay back money they have borrowed from a bank or organization: The scheme assesses the credit risk of new borrowers.Borrowing, lending and debt a possibility that someone may not be able to pay back money that they have borrowed from a bank or organization: corporate bonds with little credit risk/efforts to reduce credit riskBorrowing, lending and debt
(Definition of credit risk noun from the Cambridge Advanced Learner's Dictionary & Thesaurus © Cambridge University Press)

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