credit risk

noun

1. the possibility of loss if a borrower defaults on a loan.

2. a borrower regarded as likely to default on a loan.

Example Sentences

They offer strong liquidity and minimal credit risk, even though they briefly dipped alongside stocks during the latest sell-off.

From Salon

Advocates for this law argued that medical debt is a poor predictor of a person’s credit risk and can prevent individuals or families from finding housing, or getting employed, among other necessities.

From Los Angeles Times

But, the type of consumer is, Kevin King, vice president of credit risk and marketing strategy told Salon.

From Salon

“Cannabis is still an emerging market with a lot of credit risk,” Hill added.

From Seattle Times

“Late fees encourage timely payments, which in turn help card issuers both to manage credit risk and to lower costs, allowing them to offer more competitive terms and features,” the trade groups wrote in their complaint.

From New York Times