This task is often performed by a credit manager who is a person employed by an organization to manage the credit department and make decisions concerning credit limits, acceptable levels of risk, terms of payment and enforcement actions with their customers.
The goal within a bank or company, in controlling credit, is to improve revenues and profit by facilitating sales and reducing financial risks.
This leads to consistent credit decisions and eliminating compliance issues because there is an audit trail.
The role of credit manager is variable in its scope and a Credit Managers are typically responsible for:[1] Credit managers tend to fall into one of three groups depending on the specific legal and jurisdictional knowledge required: Construction Credit Management is considered an specialist area of credit management for the construction industry that require specific skill due to the nature of construction projects.
Credit managers operating within the United Kingdom can obtain accreditation from the Chartered Institute of Credit Management, called the Chartered Institute of Credit Management from 1 January 2015 after it was granted a Royal Charter.