How Do You Write Lending Procedures & Policy Manuals?
When you are ready to write lending procedures and policy manuals, it’s a good idea to have input from other individuals both within and from outside the credit department. Sometimes the collection department can provide helpful insight concerning lending procedures. A policy manual, along with helpful lending procedures, provide an organization some useful guidelines, rules and regulations that make lending practices consistent and practical. Sometimes a decision has to made, which strays outside or ignores the lending procedures, but these are usually rare. In such a case an employee may have to get an override approved. Establish an objective. Whenever you are writing up lending procedures along with a policy manual it’s a good idea to establish a statement outlining your objective. This statement should provide an overview of what you are trying to accomplish with your lending procedures and policy manuals. Companies try to make the best possible credit decisions to maximize their
