Watch out full video on Youtube. Click on the link below- https://youtu.be/48r3LhGRX_A Credit monitoring is the continuous process of reviewing and following loan accounts, asset quality and credit reports to judge the accuracy and standard of loan asset. Whenever loan is granted to customer, banker is required to ensure that it remains a standard asset and does not turn out to be non-performing asset. Pre-disbursement Care Sanction letter shall be issued detailing various terms and conditions on which the loan has been approved. Acknowledgement letter should be obtained from borrower stating that he/she has well understood and noted the terms of sanction. Security documents along with acknowledgement letter should be kept aside properly. Credit report should be reviewed periodically to ensure that there are no adversity causing risk to loan recovery. Documentation should be done in proper format with all signatures as a part of due diligence. End use verification to ensure legality of purpose. Post-disbursement Care Post-disbursement monitoring involves both onsite monitoring (visiting the unit) and offsite monitoring (scrutiny of records) OFFSITE MONITORING INVOLVES :- Study of Quarterly Information System, Monthly Select Operational Data, Cash Budget and Financial Statements Stock Statement Verification Scrutiny of the register and bills Annual report containing director’s report, management discussion analysis, auditor’s report and financial statements Comparison of actual financials with projected one on the basis of which loan was sanctioned ONSITE MONITORING INVOLVES :- Physical verification of stock Check whether all machinery are working in good condition Checking of Register Books ( Sales register, Purchase register, Production register, Stock register) Invoices and utility bills No. of skilled and unskilled workers in the unit Thank you for Watching Subscribe to DevTech Finance

1. DEVTECH FINANCE
CREDIT MANAGEMENT MODULE
CREDIT
MONITORING
Credit Monitoring
Pre-
disbursement
Post-
disbursement
Onsite Offsite

2. INTRODUCTION TO CREDIT MONITORING
• Credit monitoring is the continuous process of reviewing and following
loan accounts, asset quality and credit reports to judge the accuracy
and standard of loan asset.
• Whenever loan is granted to customer, banker is required to ensure
that it remains a standard asset and does not turn out to be non-
performing asset.

3. Credit Monitoring
Pre-disbursement Post-disbursement
Onsite Offsite

4. PRE-DISBURSEMENT CARE
• Sanction letter shall be issued detailing various terms and conditions
on which the loan has been approved.
• Acknowledgement letter should be obtained from borrower stating
that he/she has well understood and noted the terms of sanction.
• Security documents along with acknowledgement letter should be
kept aside properly.
• Credit report should be reviewed periodically to ensure that there are
no adversity causing risk to loan recovery.
• Documentation should be done in proper format with all signatures
as a part of due diligence.
• End use verification to ensure legality of purpose.

5. POST-DISBURSEMENT CARE
• Post-disbursement monitoring involves both onsite monitoring (visiting the unit)
and offsite monitoring (scrutiny of records)
 OFFSITE MONITORING INVOLVES :-
• Study of Quarterly Information System, Monthly Select Operational Data, Cash
Budget and Financial Statements
• Stock Statement Verification
• Scrutiny of the register and bills
• Annual report containing director’s report, management discussion analysis,
auditor’s report and financial statements
• Comparison of actual financials with projected one on the basis of which loan
was sanctioned

6. POST-DISBURSEMENT CARE
• ONSITE MONITORING INVOLVES :-
• Physical verification of stock
• Check whether all machinery are working in good condition
• Checking of Register Books ( Sales register, Purchase register, Production
register, Stock register)
• Invoices and utility bills
• No. of skilled and unskilled workers in the unit
Preparation of Unit Inspection Report with all major observations

7. THANK YOU FOR WATCHING
DEVTECH
FINANCE