FNCR2245 Consumer Lending

Course Description

Students will study the essential concepts needed to understand the consumer loan function, including a history of consumer credit, evaluation of credit risks, and the gathering, investigating, and analysis of credit information. Students will also study procedures involved in documenting, servicing, managing, pricing and marketing flows. Practical examples of loan costs and pricing are provided along with discussion of different loan products, delivery channels, marketing, and sales.

Student Learning Outcomes

  • describe the evolution of consumer credit in the United States and trace the development of current lending practices and attitudes
  • describe key laws or regulations affecting consumer lending
  • list characteristics, benefits, and disadvantages of direct lending
  • explain the advantages and disadvantages of indirect lending from the bank's, the dealer's, and the consumer's perspective
  • state the objectives of the loan application generating process and give examples of how the effective marketing of loan products can increase outstanding loans and application volume
  • describe the primary sources of consumer loan information and the steps taken in the credit verification process
  • explain how the five C's of credit are used in credit evaluation and decision making
  • list the objectives for the bank's formal loan policy statement

Prerequisite

Please see eServices for section availability and current pre-req/test score requirements for this course.

3 credits: 3 lectures / presentations, 0 lab, 0 other