CMA Full Form | What is Credit Monitoring Analysis

What is the full form of CMA


CMA: Credit Monitoring Analysis

CMA stands for Credit Monitoring Analysis. It is a critical analysis done by a credit analyst or a banker to check the credibility of a company which has applied for a loan. It involves the in-depth analysis of current and projected financial statements of a loan applicant. This analysis shows the credit worthiness of a company which reflects the ability of a company to repay the loan. It is a very important function of the finance department of an organization that provides loans.

CMA full form

The banks check the CMA report of a company before sanctioning the loan and if the report is not satisfactory the loan may not be sanctioned.

The banks consider various factors for CMA like the current business of a company, credit history, current asset and liabilities, balance sheet and analysis of current and projected financial statements.