Glossary
Credit paper
The internal document a lender writes about your deal, and the thing an approval is actually given on.
In plain English
The credit paper is written inside the lender. It summarises the borrower, the transaction, the earnings adopted, the security, the covenant tests and the risks, and it ends with a recommendation. A credit officer or committee approves the paper, not your application.
You will never see it. What you can influence is how easy it is to write, because everything in it has to come from the file you supplied.
Why a lender cares
This is the whole reason presentation matters. A submission that gives the writer the earnings basis, the covenant maths and the risks with answers attached becomes a paper that recommends approval. One that leaves them to assemble it produces a paper full of caveats, or none at all. Deals that service perfectly well are declined at this step every day.
Where this term takes you
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