CREDIT MANAGEMENT AND DEBT COLLECTION IN COMMERCIAL BANKS IN NIGERIA (A CASE STUDY OF SOME SELECTED BANKS)

CREDIT MANAGEMENT AND DEBT COLLECTION IN COMMERCIAL BANKS IN NIGERIA (A CASE STUDY OF SOME SELECTED BANKS)

Abstract

Banks are financial intermediaries between two groups: the savers – depositors and borrowers – spenders. Their activities make it possible for idle funds to be transferred to individuals, firms and government who will use this productively. The surplus units, which the banks borrow from demand the best possible termsin, the rates of interest and maturity structures and maximum liquidity to enable them to have funds back, when they want them or as agreed. Also, the deficit units which borrow from the banks would want to borrow when they need funds and as cheaply as possible. Like the lenders, the borrowers also impose the obligation of maximum liquidity on the banks to enable them to obtain the funds when they need them. The main source of income and profitability of banking remains the spread or difference between the rate at which funds are borrowed at and the rate at which they are invested or loaned out. In these circumstances, credit and debt collection management has become common with risk management in managing the risks of mismatches between assets and liabilities and between borrowing and lending rates. Credit and debt collection management is therefore an area, which cannot be neglected in risk management in banks considering the percentage of commercial bank income derived from loans and advances. We shall in this study/research consider the concept and classes of credit information. Debt collection policies and practices, legal aspect of credit management and machinery for the recovery of bank credits and advances using some selected commercial banks and proffer solutions to the grey areas in credit management in commercial banks in Nigeria.

TABLE OF CONTENT

Title page- – – – – – – – – i
Approval page – – – – – – – -ii
Dedication – – – – – – – – -iii
Acknowledgement – – – – – – – -iv
Abstract – – – – – – – – – -v
Table of content – – – – – – – -vi

CHAPTER ONE
INTRODUCTION – – – – – – – -1
1.0 Background of the study – – – – -1
1.1 Statement of the problem – – – – -5
1.2 Purpose of the study – – – – – -6
1.3 Significance of the study – – – – -8
1.4 Research questions – – – – – -9
1.5 Scope of the study – – – – – – -10

CHAPTER TWO

LITERATURE REVIEW – – – – – – -11

CHAPTER THREE

Research methodology – – – – – – -39
Design of study – – – – – – – -40

CHAPTER FOUR

Presentation, analysis and interpretation of data – -48

CHAPTER FIVE

Summary of findings – – – – – – -60
Conclusion – – – – – – – – -61
Recommendations – – – – – – – -62
Suggestions for further research – – – – -64
References – – – – – – – – -65
Appendix I – – – – — – – – -68
Questionnaire. – – – – – – – -69

CREDIT MANAGEMENT AND DEBT COLLECTION IN COMMERCIAL BANKS IN NIGERIA (A CASE STUDY OF SOME SELECTED BANKS)