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English definition of “credit risk”

credit risk

noun     FINANCE
[C or U] the degree to which it is possible that a person , company , or government will not be able to pay back borrowed money : Race , gender , and religion will not be considered in assessing credit risk .high/increased/low credit risk Analysts say 30% of the bank's loans have a high credit risk .
[C] a person , company , or government considered according to how likely they are to pay back borrowed money : bad/good/poor credit risk Lenders say that women are good credit risks , and are often better at budgeting .
[C] a person , company , or government that is unlikely to pay back borrowed money : Four years ago, I was refused a store card because I was considered a credit risk .
(Definition of credit risk noun from the Cambridge Business English Dictionary © Cambridge University Press)
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