Credit Learning Byte Quiz EP1: Loan End Use Please enable JavaScript in your browser to complete this form.Employee ID *Employee Name *1. Why is it important to clearly establish the Loan End Use? *To complete the application without supporting documentsTo ensure the loan purpose aligns with the customer’s requirement, supporting documents and sanctioned purposeTo avoid capturing details in the systemTo increase the loan amount2. A customer takes a loan to purchase inventory for their business. Which End Use should be selected? *Business Cash Flow ManagementExpansion of Business ActivitiesInventory PurchaseBusiness Debt Consolidation3. If there is a mismatch between the stated End Use and the actual intended utilisation of funds, what should Credit do? *Reject the application immediately in every caseIgnore the mismatch if the loan amount is smallVerify and document the actual End Use and ensure it is lawful and in line with applicable policyChange the End Use without verification4. In a Top-Up or Balance Transfer (BT) case, what should Credit verify and document? *Only the proposed EMIOnly the customer’s current incomeThe End Use of the primary/base loan amountOnly the property market value5. Which of the following is an example of Business Cash Flow Management? *Purchasing a new shopRepaying an existing personal loanPurchasing machinery for business expansionManaging a temporary cash shortage because customer payments are delayed while supplier payments are dueSubmit
