Which of the following should be part of the written loan policy?
A)Lending authority of each loan officer and loan committee
B)Lines of responsibility for finding and reporting information within the loan department
C)A statement of quality standards for all loans
D)A statement for the preferred upper limit for total loans outstanding
E)All of the options should be part of the written loan policy

Question

Quizplus · Accepted Answer

All of the options should be part of the written loan policy to ensure clear guidelines for lending practices, accountability, and quality control. The lending authority and responsibility lines help to avoid confusion or errors, the quality standards uphold the institution's reputation and minimize risks, and the preferred upper limit for total loans outstanding helps to manage and control potential problems with loan delinquency or default.

Which of the Following Should Be Part of the Written