KASNEB CCP study plan

KASNEB CCP · Give each week a clear focus.

8 weeks · About 6 hours per week

Week 1

Credit Management

Define the credit management cycle and sequence its stages from application to closure
Distinguish the roles of credit policy, credit terms and collection procedures in a lending institution
Explain how credit information sources (credit reference bureaus, financial statements, trade references) feed a credit decision
Build a personal glossary of at least 25 credit management terms with one-line definitions

A one-page credit management cycle diagram with each stage annotated in your own words

Week 2

Compute and interpret key credit ratios (current ratio, quick ratio, debtor days, gearing, interest cover) from a set of figures
Evaluate the five Cs of credit against a described borrower scenario
Outline the contents of a credit policy manual and justify each section
Draft the information checklist a credit officer would request from a new corporate applicant

A worked ratio analysis of a hypothetical borrower with a written creditworthiness recommendation of 300-400 words

Week 3

Apply discounted cash flow and payback logic to compare two lending proposals
Distinguish between assessing repayment capacity and assessing willingness to pay
Identify warning signs of window dressing in financial statements
Structure a loan appraisal report covering purpose, amount, tenor, security and repayment source

A complete loan appraisal memo for one hypothetical applicant, with a clear approve/decline recommendation

Week 4

Compare term lending, overdraft, invoice discounting and leasing on risk and cash-flow fit
Calculate the effective cost of borrowing including fees and compensating balances
Explain covenant design and how covenants protect a lender
Re-test weak areas from Domains 1 and 2 using timed practice questions

A comparison table of four lending products scored against three borrower profiles, plus a timed 20-question self-test score

Week 5

Outline the legal framework governing credit in your jurisdiction, naming the principal statutes and regulator
Explain the essential elements of a valid contract of loan and the consequences of each failing
Describe the types of security (mortgage, charge, pledge, lien, guarantee) and their creation and perfection
Summarise borrower protection and disclosure duties imposed on lenders

A two-page statute-and-concept map linking each legal requirement to the stage of the credit process where it applies

Week 6

Explain the remedies available to a lender on default and the order in which they are typically pursued
Distinguish insolvency, liquidation and receivership and their effect on a creditor's position
Identify the main categories of credit risk and map each to a control
Interpret the purpose of provisioning, capital adequacy and exposure limits

A default-to-recovery flowchart annotated with the legal step and risk control at each stage

Week 7

Build an ageing schedule from a list of receivables and classify the accounts by risk
Draft a staged collection escalation procedure with trigger points and tone for each stage
Evaluate restructuring versus write-off for a distressed account using stated criteria
Explain how credit scoring, limits and monitoring reports are used in portfolio risk management

An ageing schedule with a prioritised collection action plan for the five highest-risk accounts

Week 8

Synthesise the four domains into a single end-to-end case walkthrough from application to recovery
Complete a full-length timed mock examination under exam conditions
Diagnose the three weakest topics from the mock and close each gap with targeted revision
Consolidate a one-page formula and definition sheet for final review

Mock exam score with a written remediation note for each weak topic and a final one-page revision sheet

Week 2: You can compute the core credit ratios unaided and defend a credit decision in writing without referring to notes

Week 4: You score at least 70% on a timed 20-question test drawn from Domains 1 and 2

Week 6: You can name the legal basis, perfection step and remedy for each security type from memory

Week 8: You complete a full timed mock at or above your target pass mark with every weak topic logged and addressed