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21 October, 2021

Factors to be considered while granting loan, Features of Good Securities

Features of loans
Liquidity
Safety
Loan purpose
 Profitability 
Types of security
Financial status of the borrower
Character of borrower
Loan to be given in diff sectors
Amount of loan 
National interest 
Guidelines of central bank 

Features of Good Securities 

01. Good title and easy transferability
02. Marketability
03. Ascertainable value
04. Stability of value
05. Worth storing
06. Low maintenance cost
07. Perishability
08. Free from liability
09. Acceptability
10. Ability
11. Ownership
12. Liquidity
13. Quality of the asset.