2006-10-08 03:36:52 · 8 answers · asked by Anonymous in Education & Reference ➔ Financial Aid
Underwriting refers to the process that a large financial service provider (bank, insurer, investment house) uses to assess the process of providing access to their product like providing equity capital, insurance or credit to a customer.
In banking, underwriting is the detailed credit analysis preceding the granting of a loan, based on credit information furnished by the borrower, such as employment history, salary, and financial statements; publicly available information, such as the borrower's credit history, which is detailed in a credit report; and the lender's evaluation of the borrower's credit needs and ability to pay. Underwriting can also refer to the purchase of corporate bonds, commercial paper, Government securities, municipal general obligation bonds by a commercial bank or dealer bank for its own account, or for resale to investors. Bank underwriting of corporate securities is carried out through separate holding company affiliates, called securities affiliates, or Section 20 affiliates.
2006-10-08 03:45:17 · answer #1 · answered by Anonymous · 0⤊ 0⤋
1) An insurance agent who assesses the risk of enrolling an applicant for coverage or a policy.
2) An intermediary between an issuer of a security and the investing public, usually an investment bank.
3) An issuer of insurance policies.
2006-10-09 23:09:35 · answer #2 · answered by ritu raj 3 · 0⤊ 0⤋
An underwriter is a subscriber to, or shareholder in, a mercantile venture or a person who agrees to take up a certain number of company shares in the event of the issue being undersubscribed by the public.
2006-10-10 06:48:05 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Underwriting refers to the process that a large financial service provider (bank, insurer, investment house) uses to assess the process of providing access to their product like providing equity capital, insurance or credit to a customer.
2006-10-08 10:45:33 · answer #4 · answered by Asher S 4 · 0⤊ 0⤋
Who stands Under the Table and Writes.
2006-10-08 10:43:16 · answer #5 · answered by A Big Fat ZERO 2 · 0⤊ 0⤋
It is someone who stands as a guarantor at the time of issuing shares (or similar risks) against under subscription of the shares.
2006-10-11 19:40:59 · answer #6 · answered by Anonymous · 0⤊ 0⤋
An entity (insurance compnay) who promises to cover the agreed upon risks (e.g., car accidents/illness, etc) for a fee(premium) paid.
2006-10-08 10:41:03 · answer #7 · answered by Raja 1 · 0⤊ 0⤋
Usually actuaries are mostly underwriters .
2006-10-08 15:12:11 · answer #8 · answered by Richard J 6 · 0⤊ 0⤋