Credit Rating

What Does Credit Rating Mean?
An assessment of the credit worthiness of individuals and corporations. It is based upon the history of borrowing and repayment, as well as the availability of assets and extent of liabilities.

Investopedia explains Credit Rating
Credit is important since individuals and corporations with poor credit will have difficulty finding financing, and will most likely have to pay more due to the risk of default.

Related Terms

Bond Rating
Collection Agency
Credit Enhancement
Credit Risk
Default Model
Default Risk
Fixed-Income Style Box
Gross Debt Service Ratio - GDS
Impaired Credit
Total Debt Service Ratio - TDS
More Related Terms

Related Links

What Is A Corporate Credit Rating? - For investors considering buying debt securities, a credit rating is an essential tool.
Why Bad Bonds Get Good Ratings - Credit ratings are not the only tool to rely on when assessing bonds. Find out why they sometimes fall short.
The Debt Ratings Debate - Lack of competition and potential conflicts of interest have called the value of these ratings into question.
The Importance Of Your Credit Rating - Do you know how your borrowing activities affect your credit rating? Find out here.
Corporate Bonds: An Introduction To Credit Risk - Corporate bonds offer higher yields, but it's important to evaluate the extra risk involved before you buy.
What's the difference between EBITDA, EBITDAR and EBITDARM? -
The Ins And Outs Of Corporate Eurobonds - Corporate eurobonds simplify expansion for MNCs, though there are a few more hoops to jump through.
How is my credit score calculated?
Why do commercial bills have higher yields than T-bills?
What does investment grade mean?

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