credit quality

credit quality
A measure of a bond issuer's ability to repay interest and principal in a timely manner. rating agencies assign letter designations such as AAA, AA, and so forth ( ratings). The lower the rating, the higher the probability of default. Bloomberg Financial Dictionary

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credit quality credit quality quality1

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credit quality UK US noun [U] FINANCE
the level of ability of a company or government to make regular interest payments on the bonds it sells and pay back their original value: good/high/satisfactory credit quality »

Bonds rated AA are considered to be investment grade and of very high credit quality.

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low/poor/bad credit quality

the level of ability of a person or company to pay back borrowed money: consumer/corporate credit quality »

We're beginning to see some real erosion in consumer credit quality.


Financial and business terms. 2012.

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Look at other dictionaries:

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