Das Kreditrisiko
Example: Das Kreditrisiko beeinflusst die Zinssätze der Bankkredite stark.
Definition
"Das Kreditrisiko" refers to the risk that a borrower will fail to repay a loan or meet contractual debt obligations, which can lead to financial loss for the lender. It is a key factor in determining interest rates in bank loans and other credit agreements.
Etymology
The term "das Kreditrisiko" combines the German word "Kredit," meaning credit or loan, derived from Latin 'creditum' meaning 'a loan, thing entrusted,' and "Risiko," meaning risk, which comes from Italian 'risico,' ultimately from Spanish 'riesgo.' The concept highlights the uncertainty associated with lending money.
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"Das Kreditrisiko" appears in the Vocaplus list "German - Finance - (A1-C2) - set 1", containing 150 commonly used words.
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