BANK LENDING: Understanding the Basics

Bank Lending is a book that was motivated by the lack of sufficient reading materials for a good number of stakeholders with a desire to understand the concept of lending and borrowing. The book traces the origin of bank lending through the operating environment of the lender up to the procedures involved behind the scenes. To that extent, it takes everybody on board, that is, the lender, the borrower, the student and the knowledge seeker. Topics covered include, but not limited to lender customer (borrower) relationship, sources of funds for lending, lending segments, qualitative and quantitave aspects of lending, considerations for lending to individuals, small to medium enterprises (SMEs), large companies, and other banks and the regulatory aspects of lending. This is a subject that takes into account factors from different fields to facilitate the lending function practiced by bank lenders. Probably because of the latter reason the subject is viewed as a preserve of bank emmployees and beyond the reac of other stakeholders. One of the objectives of the book is to demystify this notion and show that the basics can be understood by a wide spectrum of interested people to enrich their knowledge. After reading the book, the reader will, without a doubt have a different perspective about bank lending, particularly the fact that anybody can benfit from knowing what goes on behind the counters in respect of lending and borrowing.