Credit Rating (Noun)
Meaning
An estimate, based on previous dealings, of a person's or an organization's ability to fulfill their financial commitments.
Classification
Nouns denoting cognitive processes and contents.
Examples
- The bank reviewed the company's financial records and credit rating before approving the loan application.
- A good credit rating can help individuals qualify for lower interest rates on mortgages and car loans.
- The store wouldn't offer her a credit card due to her poor credit rating and history of overdue payments.
- His credit rating was severely damaged after he defaulted on several credit card debts.
- Maintaining a high credit rating is essential for businesses to attract investors and secure funding.