spot_img

JAIIB | PRINCIPLES AND PRACTICES OF BANKING | LOAN REVIEW MECHANISM-CASE STUDY

The JAIIB exam, conducted by the Indian Institute of Banking and Finance, is designed to impart foundational knowledge in the banking sector. One of the primary topics covered in the JAIIB syllabus is the Loan Review Mechanism (LRM). This article presents a case study that highlights the importance of LRM. The case study also illustrates how a broad understanding of LRM can be beneficial for candidates.

Full Course Videos in Hindi English
Check Here
————————————————————-
jaiib ppb short notes part 1
Check Here
————————————————————-
jaiib exam free study material
Check here
————————————————————-
jaiib study material pdf notes 2023
Get Tests Here
————————————————————-
how to prepare for ppb
Check Here

DOWNLOAD PDF LOAN REVIEW MECHANISM-CASE STUDY

The LRM is a significant element of a bank’s overall credit risk management structure. It determines the quality of loans, ensures compliance with lending policies, and identifies early signs of loan deterioration. The primary objectives of LRM include evaluating the loan portfolio to ensure asset quality. Ensuring adherence to regulatory guidelines. Detecting early warning signs of financial distress in borrowers. Taking corrective measures to minimize the risk of loans turning into non-performing assets (NPAs). Anti-money laundering and combating the financing of terrorism are important regulations and processes in the financial industry. Get additional information about it through our AML CFT and Reporting of Transactions YouTube video. 

LRM emphasis on high-risk loan accounts and ensures that banks take timely actions to prevent defaults. This case study focuses on routine loan review, the bank’s credit risk team identified potential issues in its real estate loan book. Several developers face cash flow issues due to project delays, and early warning indicators suggest that these loans might become non-performing if disciplinary actions are not taken. Learning Sessions provides you course material via case study’s PDFs and YouTube links to excel in JAIIB Exam.

You may also like these JAIIB Case Studies:

Foreign currency Non-Resident Account

 

Foreign Exchange Remittance Facilities

To sum up, understanding the LRM is crucial, as it equips the knowledge to manage credit risk effectively in a future banking career. This case study will inform you about the practical application of LRM in real-world banking, offering valuable insights for JAIIB aspirants preparing for the exam. By mastering the concepts of LRM, candidates can succeed in the credit management module. For the complete preparation of candidates, get details through our YouTube videos for JAIIB PPB Module Wise Syllabus with explanations and tips to help candidates in their preparation journey.

Get access to our Telegram Channel for free Pdfs of JAIIB.

You may also find these JAIIB Posts useful

JAIIB PPB credit Card Exposures 

JAIIB PPB Operational Aspect of Loan Accounts

JAIIB PPB RISK MANAGEMENT IN CYBER TECH

JAIIB PPB APPRAISAL AND ASSESSMENT OF CREDIT FACILITIES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

🤩 🥳 JAIIB NEW BATCH START 🥳 🤩spot_img
🤩 🥳 JAIIB CAIIB CLASSES 🥳 🤩spot_img

POPULAR POSTS

RELATED ARTICLES

Continue to the category

JAIIB | ACCOUNTING AND FINANCIAL MANAGEMENT (AFM) | CASE STUDY ON ACCOUNTING STANDARD

In the rapidly evolving financial sector, mastering accounting standards is significant for banking professionals. The Junior Associate of the Indian Institute of Bankers (JAIIB)...

JAIIB | AFM | BRANCHES OF ACCOUNTING – CASE STUDY

The Junior Associate of Indian Institute of Bankers (JAIIB) examination is highly respected within the banking sector, primarily for professionals looking to strengthen their...

JAIIB | AFM | PROCESS ACCOUNTING – CASE STUDY

The Junior Associate of the Indian Institute of Bankers (JAIIB) certification is significant for professionals aiming to gain excel in various facets of banking....

JAIIB | AFM | CASE STUDY ON LIQUIDITY RATIO

In the world of banking, the potential to assess financial health accurately is critical, primarily for professionals aiming to succeed in their Junior Associate...