Credit transactions

Red flags include:

  • A transaction is made to appear more complex than it needs to be by use of nonsensical terms such as emission rate, prime bank notes, standby commitment, arbitrage or hedge contracts

  • Customer requests loans made to offshore companies or secured by obligations in offshore banks

  • Customer suddenly pays off large problem loan, without any obvious source of funds

  • Customer collateralises loan with cash or certificates of deposit




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