Credit memo

Definition

The write-up your loan officer takes to committee, arguing your deal.

Why It Matters

It is the document that actually gets approved, and you never see it. Your file is raw material for it: the officer restates your numbers, adds the bank's own view of the industry and the risks, and recommends. That is the practical reason to hand over a file that is already argued and not merely complete, because whatever you did not explain gets explained by somebody who has met you twice. Ask your officer what the memo will say about the weakest part of the deal, and answer that in writing before it goes up.