Credit Risk Assessment Methods in Commercial Banks

The article focuses on important aspects of credit risk in commercial banks and explores various methods used to effectively manage it. The resulting credit risk, which does not fulfill the financial obligations of borrowers, seriously threatens the stability and profitability of banks. Studies the many strategies and tools used by commercial banks to manage credit risk. In general, this article provides insights into the multifaceted nature of credit risk in commercial banks and provides information on the various methods used by banks to effectively manage and mitigate this common risk factor, thus maintaining their financial health and ensuring sustainable growth.