course syllabus

1. LSPU-ACAD-SF-015 Rev 1 17 April 2018
Republic of the Philippines
Laguna State Polytechnic University
Province of Laguna
College of Business Administration and Accountancy
I. UNIVERSITY
VISION: LSPU is a center of technology innovation that promotes interdisciplinary learning, sustainable utilization of resources, and collaboration and
partnership with the community and stakeholders.
MISSION: LSPU, driven by progressive leadership, is a premiere institution providing technology-mediated agriculture, fisheries and other related and
emerging disciplines significantly contributing to the growth and development of the region and nation.
QUALITY POLICY: LSPU delivers quality education through responsive instruction, distinctive research, sustainable extension, and production services.
Thus, we commit to continually improve to meet applicable requirements to provide quality, efficient and effective services to the
university stakeholders’ highest level of satisfaction through an excellent management system imbued with utmost integrity,
professionalism and innovation.
AN OUTCOMES-BASED LEARNING PROGRAM (Syllabus)
Program: Bachelor of Science in Business Administration Major in Financial Management Academic Year: 2023-2024
Course Title: Credit and Collection Management (FM 103) Semester: 1st Summer: ______
Pre-Requisites: Financial Management (FM 101) No. of Units: 3 No. of Hours: 54
Part 1. Course Description (CMO No. 39 Series of 2006)
This course covers techniques of establishing the credit, obtaining and checking information, servicing the loan, billing and collecting the amount due. Each of a bank’s
installment credit operation is carefully scrutinized.
After successfully completing this course the student should have a working knowledge of: Collection policies and procedure; Principles of credit evaluation; Open-end credit;
Direct lending; Leasing of consumer goods; Indirect lending; Legal aspects of installment credit; Organizing and managing an installment loan department.

2. LSPU-ACAD-SF-015 Rev 1 17 April 2018
Part 2. Outcomes-based Macro Curriculum Framework
Intended Learning Outcomes (ILOs)
Institutional (ILOs)
Program Intended
Learning Outcomes
Course Intended
Learning Outcomes
LSPU Graduate Attributes
LSPU Graduates is expected to be a:
When you have fully completed the Bachelor of
Science in Business Administration Major in
Financial Management you should be graduates.
who:
When you have fully completed the course Credit
and Collection Management you will be able to
demonstrate
INTEGRITY
1. Responsible and Upright Citizen, who is
capable of achieving high level personal well-
being contributive to the harmony and
betterment of the profession, family, society,
and nation.
Demonstrate understanding of business and
investing, equipped with knowledge, skills and
abilities essentials in administration,
organization for a well-informed economic and
financial decision making.
Appropriate, Well-informed decisions in relation to
Credit, Management and Collection
PROFESSIONALISM
2. Professionally Skilled, who applies
technological as worker-leader in the field of
expertise apt to the global needs.
Demonstrate the ability to govern, lead in
carrying out business, finance and
administrative functions.
Apply basic knowledge of credit fundamentals in
relations to business undertakings, opportunities
and investments using technology.
INNOVATION
3. Creative and Critical Thinker, who articulates
and produces entrepreneurial resources
extended to families and community for
improvement.
Demonstrate critical and analytical ability in
addressing business administration issues,
problems and concerns and able to resolve them
for a better organization.
Creative in seeking business opportunities through
maximization of financial assets and other
resources through better credit policy and sound
collection policies and procedures.
4. Competent Research Oriented Individual, who
is able to analyze facts methodically, discover
and establish new theory to use in solving
problems and decision making contributory to
Demonstrate competency in using research
methodologies in relation to effective business
administration and identifying economic
opportunities.
Understanding the dynamics of credit
management and collection through timely and
updated economic information obtained thru
market and business research.

3. LSPU-ACAD-SF-015 Rev 1 17 April 2018
the sustainability of the needs of the
community.
Part 3. Curriculum Mapping
PROFESSIONAL COURSES
Program Outcomes Specific to Sub-
Discipline BSBA-FM
PO1 PO2 PO3 PO4
FM 101 – Financial Management P L O L
FM 102 – Financial Analysis and Reporting P L O L
FM 103 – Credit and Collection P L O L
FM 104 – Capital Market P L O L
FM 105 – Banking and Financial Institution P L O L
FM 106 – Special Topics in Financial Management P L O L
FM 107 – Investment and Portfolio Management P L O L
FM 108 – Monetary Policy and Central Banking P L O L
LEGEND: L= Learned P=Practiced O=Opportunity to Learn
Part 4. Teaching and Learning Matrix
Intended Learning Outcomes (ILOs)
Course Contents
Learning
Activities
Assessment Tasks Time Frame
ILO 1: Level of Learning Outcome - Knowledge
 Define what is Credit
 Enumerate the basic elements of credit
CLASSROOM ORIENTATION: Discussion
about school’s rules and policies. What
Power Point
Presentation
Lecture
Discussion
Recitation
Long Quiz-Objective
type
1st
week to 5th
week

4. LSPU-ACAD-SF-015 Rev 1 17 April 2018
 Identify the different types and users of credit
 Describe the benefits of credit to businesses
and customers
 Recall some basic laws governing credit
transactions
 Discuss the General functions of credit
 Compare the advantages and disadvantages of
using credit
 Compute the cost of and charges of credit
 Relate other charges and its effect on cost of
borrowing or yield to lender.
are expected from students and how
they will be graded during the Semester.
MODULE I. The Fundamentals of Credit,
General Functions, Advantages, and
Disadvantages
I. The Fundamentals of credit
Introduction to Credit
1. What is Credit?
2. Basic Elements of Credit
3. Civil Code that governs Credit
Transactions
4. Users of Credit
5. Credit Information
6. The Cs of Credit
7. Benefits of Credit to Businesses
8. Benefits of Credit to Customers
9. Precautions for use of Credit
10. Questions to ask in the use of credit
11. Vocabulary
II. General Functions, Advantages,
Disadvantages
1. General functions of Credit
2. Advantages and Disadvantages of
Credit
3. The Costs of Credit
4. Calculating the true cost of credit
5. Other charges and their effect on cost
of borrowing and yield to lender.
AVP &
Classroom
Interaction:
Introduction to
credit: What is
credit?
Corporate
Finance
Institute July 02,
2020 (1)
Introduction to
Credit: What is
Credit? -
YouTube
The role of
credit in the
economy Mckee
A. June 23, 2018
The Role Of
Credit In The
Economy
(According to
Ray Dalio) -
Professor
McKee's Things
and Stuff
(docmckee.com)
accessed July
23, 2022
Case Analysis: Civil
Code on Credit
transactions
Interaction on Audio
Visual Presentation
August 22 to
September 22,
2023

5. LSPU-ACAD-SF-015 Rev 1 17 April 2018
ILO 2: Level of Learning Outcome - Knowledge
 Classify all types of credit
 Identify the various sources of credit.
 Identify the specific credit available for
consumers and businesses
 Identify documents required for credit
evaluation
 Identify documents and instruments used for
approved credit application
 Differentiate Credit Documents from that of
Credit Instruments
MODULE II. Classifications and Sources
of Credit; Credit Documents and
Instruments
I. Classifications and sources of credit
1. Classification of credit
 Agricultural, commercial,
industrial, consumer,
commodity loans
 Shir-term, medium-term,
long-term
 Secured, unsecured credit
2. Sources of credit
 Financial institutions
3. Non-Financial Institution Sources
of credit
 Suppliers’ credit, line of credit,
open-book credit, revolving
credit agreement, letters of
credit, packing credit
advances, treasury bills,
pledging and factoring of A/R,
commercial paper, treasury
bonds, corporate bonds,
investment credit, equipment
leaseback
4. Specific types of credit available
for businesses
5. Specific types of credit available
to consumers
II. Credit Documents and Instruments
1. Documents required for credit
evaluation
 ITR, bank statement, BOD, OCT,
TCT, SEC, F/S, DTI, Serial Number
1. Power Point
Presentation
2. Lecture
Discussion
3.
4. AVP &
Classroom
Interaction:
A step-by-step
guide on how to
process the
transfer of title
of property.
From start to
finish Atty
Suarez, A. April
12, 2021 (1) A
step-by-step
guide on how
to process the
transfer of title
of property.
From start to
finish. -
YouTube
accessed July
23, 2022
Video
presentation:
The Real Estate
Classroom (2020
Sept 02)
Promissory Note
and Mortgage
Recitation
Long quiz-Objective
Long quiz-Essay
6th
to 9th
week
September 25 to
October 20, 2023

6. LSPU-ACAD-SF-015 Rev 1 17 April 2018
2. Documentation and instruments used
for approved credit application
 Promissory note, IOU, deed of
sale, trust receipt, warehouse
receipt, pledge, Real estate or
chattel mortgage, foreclosure,
disclosure statement, letters of
credit
https://www.yo
utube.com/watc
h?v=5BTtVEENh
vg&feature=you
tu.be
ILO 3: Level of Learning Outcomes- Application
 Define what is credit
 Identify ways credit can improve business
operations
 Enumerate what influences a credit policy
 Recall the steps in creating a credit policy
 Describe the 5 Cs of credit
 Recall the short credit process
 Explain credit investigation and appraisal
 Identify the fraud and deceit in collaterals used
for credit
 Identify the services offered by CMAP which
can be used for future credit decisions.
MODULE III. Credit Policies & Processes
I. Credit Policies
1. Overview of Credit Policy
 Definition of credit policy
 Need for a credit policy
 Ways credit policies can improve
business operations
 What influences credit policy?
 What makes up a credit policy?
 Steps to creating a credit policy
2. The 5 Cs of Credit
 What are the 5 Cs of credit?
 Balancing the 5 Cs of credit
II. Credit processes
1. The short credit process.
2. The Credit Investigation (CI)
 Documents needed for CI
3. The credit appraisal
 Need for credit appraisal
 What to do, what to bring, whom
to ask?
 Documents for credit appraisal
4. Fraud and deceit in collaterals
5. The Credit Management Association
of the Philippines
 History
 Mission
Power Point
Presentation
Lecture
Discussion
AVP:
What are Credit
Policies? | Thea
Dudley | Credit
Management
Course April 20,
2021 (1) What
are Credit
Policies? | Thea
Dudley | Credit
Management
Course -
YouTube
Credit Process:
Credit Analysis
Corporate
Finance
Institute July 16,
2020 (1) Credit
Process: Credit
Analysis -
YouTube
Quiz
Recitation
Case Analysis
(Formulation of Credit
Policy)
Preparation of:
Sample of Credit
Investigation
Long Quiz-Objective
Submission of Credit
policy (Output)
Attendance to the
seminar/webinar on
Credit Investigation
and Appraisal
10th
to 13th
week
October 23-Nov
17, 2023

7. LSPU-ACAD-SF-015 Rev 1 17 April 2018
 Objectives
 Membership
 Services offered by CMAP
History of Credit
Management
Association of
the Philippines
(1) Credit
Management
Association of
the Philippines -
YouTube
ILO 4: Level of Learning Outcomes –
Application/Comprehension
 Explain the legal basis for collection
 Define what is a collection policy
 Enumerate the importance of written credit
policies and collection procedures
 Identify the causes of delinquent accounts and
non-payment
 Describe the general collection policies and
procedures
 Identify the inclusion to collection policies and
procedures
 Identify the best practices for collection
policies and procedures
 Calculate the collection goals
 Calculate aging of receivables
 Identify friendly recovery efforts for credit
granted
 Identify drastic recovery efforts for credit
granted
 Differentiate friendly from drastic recovery
efforts and how to apply them
MODULE IV. Collection Policies and
Procedures; Credit recovery; Handling
of Checks
I. Collection Policies and Procedures
1. Introduction to collection policies
 Legal basis
 What is a collection policy?
 Importance of written credit
policies and collection
procedures
 Causes of delinquent accounts
 Causes of non-payment

2. General collection policies &
procedures
 Inclusion to collection policies
and procedures
 Collection policies and
procedures best practices
 Areas where collection policies
may be formulated
3. Collection Procedures
4. The collection goals.
PPT
presentation
Lecture
Discussion
AVP &
Classroom
Interaction:
Common debt
collection
process Institute
for financial
literacy Oct 27,
2014 (1)
Common Debt
Collection
Process -
YouTube
How to build an
effective
collection
strategy e2b
teknologies Jan
Recitation
Long Quiz-Objective
Final Examination:
Formulation of
Collection Policies and
Procedures-This will
serve as the final
examination
14th
to 18th
week
November 20,
2023 to January
05, 2024

8. LSPU-ACAD-SF-015 Rev 1 17 April 2018
 Define a check
 Identify the various types of checks
 Identify the various parts of a check
 Describe the standard size and specification of
a Philippine check
5. Incentive Programs for collectors
6. Service Charges
7. Account management (aging of
receivables)
II. Friendly and Drastic Recovery Efforts
for credit Granted
1. Introduction to recovery efforts
2. Friendly recovery efforts
3. Drastic recovery efforts
III. Proper Handling of Checks
1. Overview on how to handle check
payments
 Types of checks
 Reasons why checks may be
returned
 Definition of a check
 Standard size of Philippine check
 Parts of a check
 Check design standard and
specification
18, 2019 (1)
How to Build an
Effective
Collection
Strategy -
YouTube
Part 5. References
Reference: Web Article (ND) Credit and Collection https://www.bizfilings.com/toolkit/research-topics/finance/basic-accounting/credit-and-collections
Reference: Codals, et al. - [Civil Code of the Philippines] Book IV Title XI-XVI [Credit Transactions] (tumblr.com)
Web references: Mr. Calkins (2008) The Fundamentals of Credit https://slideplayer.com/slide/1533062/https://www.nerdwallet.com/blog/5-cs-credit/
Briones, JG (2005) Credit and Collection Management made easy for Filipino College Students Mandaluyong City National Book Store 2005
Reference: Filipino Law Group (ND) Land Titles Issues in the Philippines
https://filipinolawgroup.com/land-title-issues-philippines/
Reference: How To Create a Business Credit Policy [Free Template] - Nuvo
Peterdy, K June 28, 2023 5Cs of Credit 5 Cs of Credit - Overview, Credit Risk, Framework (corporatefinanceinstitute.com)
CMAP Home - Credit Management Association of the Philippines (cmaphil.ph)
Reference: Philippine Clearing House Corporation PCHC | PCHC

9. LSPU-ACAD-SF-015 Rev 1 17 April 2018
Video References:
Introduction to credit: What is credit? Corporate Finance Institute July 02, 2020 (1) Introduction to Credit: What is Credit? - YouTube
The role of credit in the economy Mckee A. June 23, 2018 The Role Of Credit In The Economy (According to Ray Dalio) - Professor McKee's Things and Stuff
(docmckee.com) accessed July 23, 2022
What are Credit Policies? | Thea Dudley | Credit Management Course April 20, 2021 (1) What are Credit Policies? | Thea Dudley | Credit Management Course
- YouTube
The Real Estate Classroom (2020 Sept 02) Promissory Note and Mortgage https://www.youtube.com/watch?v=5BTtVEENhvg&feature=youtu.be
Atty Suarez, A. April 12, 2021 (1) A step-by-step guide on how to process the transfer of title of property. From start to finish. - YouTube accessed July 23,
2022
What are Credit Policies? | Thea Dudley | Credit Management Course April 20, 2021 (1) What are Credit Policies? | Thea Dudley | Credit Management Course
- YouTube
Credit Process: Credit Analysis Corporate Finance Institute July 16, 2020 (1) Credit Process: Credit Analysis - YouTube
History of Credit Management Association of the Philippines (1) Credit Management Association of the Philippines - YouTube
Materials: Lecture copies; journals, newsletters, circulars, and memoranda from SEC/BSP and CMAP
Part 6. Learners’ Assessment (Grading System)
Course Discussion 20%
Activity Sheet 40%
Examination/Output 40%
Total 100%
Part 7. Course Policies
1. Participate actively in each discussion to maximize your learning
2. Try hard to follow the Course Syllabus.
3. Submit activity sheets on or before their due dates. You will be duly informed and reminded about the deadline for each activity sheet. Late activity sheets will be
accepted, provided there is a valid reason for the delay. However, they cannot be awarded the highest possible score.
4. Activity sheets should be written in English either in Microsoft file or handwritten. Should it be handwritten, write as legibly as possible (i.e., with no erasures, sufficient
or big enough to be readable, neat and clean) and must be clear should it be submitted in pictorial form.
5. Do your activity sheet assignments yourself and refrain from copying from available sources. You may discuss your work with each other (for example during online
study sessions or in a study group off schedule), however, output should be different from each other.

10. LSPU-ACAD-SF-015 Rev 1 17 April 2018
If you “borrow” or use an idea from another source (meaning someone other than yourself), be sure to cite that source (or sources). Enclose quoted material in
quotation marks or use italics and write the source. But as much as possible, paraphrase, do not lift. Please be reminded to avoid plagiarism.
Acknowledge sources and make a bibliography of them at the end of the assignment following APA (American Psychological Association) guidelines. You can consult
http://owl.english.purdue.edu/owl/resource/560/01/ for the APA formats.
6. Always keep a duplicate copy of your activity sheets in your files just in case you need to resubmit them (e.g., they are lost in transit; or there is a technological glitch).
7. SMS and phone calls should be kept to a minimum, should be sent/made only when necessary, and only between 8am and 7pm, Monday to Friday.
Prepared by: Reviewed : Approved:
DESIREE L. WAGAN, PhD
Guest Faculty
Program Coordinator
WILFREDO DANGUE
Associate Dean