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2) GENERAL INFORMATION
A. Does your company have a separate department which assesses credit risk?
B. Do the same individuals who assess domestic credit risk also assess foreign credit risks?
3) C. Does your company have a Credit Manual or written credit procedures? If yes, please provide.
PERSONNEL INFORMATION
A. Please provide the following information on those involved in making domestic/foreign credit decisions:
B. Please provide the authority level for each position having the authority to approve credit limits on new buyers and renew or amend credit limits for
existing buyers.
4) CREDIT EVALUATION
C. Other Sources:
D. What general guidelines do you use to evaluate the information found in A -C above?
E. What is the minimum information that must be received before granting/extending credit in the following circumstances?
i. No Financial Statements are available:
5) TERMS OF PAYMENT
A. How are payment terms established?
B. Standard Terms of Sale:
6) CREDIT MONITORING
C. How often are the accounts receivable agings generated, reviewed, and by whom?
7) COLLECTION PRACTICES
A. Which of the following procedures are used for overdue accounts?
i. Reminder by phone or in writing If Yes, how many days after due date?
ii. Suspend shipments If Yes, how many days after due date?
iii. Collection agencies? If Yes, how many days after due date?
iv. Legal action? If Yes, how many days after due date?
B. How long would you firm allow an overdue to go (other than disputed items or other non-material items) before stopping
stopping further shipments to a past due customer?
C. Would third parties be used to assist in collection efforts (i.e. sales reps, local agents, legal counsel, etc.?)
D. Other Comments:
DECLARATION
I/We declare to the best of my/our knowledge that the above statements and facts are correct and that no material fact has been withheld or misstated. Completion of this
application does not bind coverage. Applicant's acceptance of this indication is required prior to binding coverage and policy issuance. It is agreed that this application shall
be the basis of the Contract should a policy be issued.
Title:
Corporation:
Date:
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