This chapter discusses credit ratings. Like credit scores, credit ratings order the credit risk. Ratings represent the risk level into a limited number of categories. The chapter is organized as follows. The relation between rating and scoring systems is discussed in section 3.2. Specific rating terminology is reviewed in section 3.3. A taxonomy of ratings is provided in section 3.4. The rating philosophy can range from through-the-cycle to point-in-time, as explained in section 3.6. An overview of external agencies that provide ratings is available in section 3.7. Internal rating systems in banks are reviewed in section 3.8. The application and use of ratings, but also limitations, are discussed in sections 3.9 and 3.10.
Oxford Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.
If you think you should have access to this title, please contact your librarian.