Commercial Credit Grading: Methodology, Risk & Examiner Issues

Registration Options & Pricing

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Recorded Webinar Includes

  • Recording of the Live Webinar
  • Can be viewed anytime 24/7, beginning 2 business days after the webinar
  • Handout and Take-Away Toolkit
  • Available on Desktop, Mobile & Tablet
  • Free Digital Download, yours to keep
  • Share link with anyone at your bank
  • Presenter’s contact info for follow-up

Accurate and timely risk grading of commercial credits is a crucial component of any commercial lender’s credit risk management.  Examiners’ and loan reviewers’ evaluations of a bank’s ability to assess and manage its credit risk are heavily influenced by the bank’s commercial loan-grading process and outcomes.  This webinar will address issues important to implementing and maintaining an effective commercial loan-grading system.  Topics will include the objectives of assigning risk grades to credits, considerations for defining a bank’s grading scale, and factors to consider when assigning risk grades.  This webinar will also address ways to use risk grades to enhance overall credit risk management, including the role risk grades can play in developing an ALLL methodology that will be consistent with the requirements of the upcoming current expected credit loss (CECL) model.

Recorded Thursday, July 28, 2016

Attendance certificate provided to self-report CE credits.


  • Considerations for the design of risk-rating scales and grade definitions
  • Guiding principles for effective use of a risk-grading matrix
  • How to effectively use subjective criteria in risk-grade assignment
  • Tips measuring the cash flow component of the risk grade
    • What measure of cash flow to grade on?
    • Should borrower or global cash flow be considered?
  • What examiners look for when evaluating commercial loan grading and its impact on overall credit risk management
  • The role risk grades can play in a CECL-appropriate ALLL methodology and in stress testing exercises

    • Manual covering the material addressed during the presentation
    • List of helpful questions when evaluating the effectiveness of your risk-grading system
    • Employee training log
    • Quiz you can administer to measure staff learning and a separate answer key


This informative session will benefit risk managers, loan officers, credit analysts, and anyone involved in assigning, validating, or working with commercial loan grades.


NOTE:  All materials are subject to copyright. Transmission, retransmission, or republishing of any webinar to other institutions or those not employed by your financial institution is prohibited. Print materials may be copied for eligible participants only.


Young & Associates, Inc.
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