This course introduces the concept of Recovery Cost vs Value Trade-Off within the Tractor & Farm Equipment Credit framework. It focuses on evaluating whether proposed recovery actions—such as repossession, auction, or negotiated settlements—are economically justified relative to the expected recovery value.
Learners will explore key assessment dimensions such as execution of structured collection and recovery actions, cost implications of repossession, auction dynamics, and settlement strategies, with an emphasis on independent validation and well-documented rationale. The course also distinguishes recovery cost vs value trade-off from broader credit management processes, highlighting its specific role in optimizing exposure-level recovery decisions rather than managing overall portfolio strategy.
By the end of the course, participants will understand how to assess recovery decisions in practice, particularly within Collection Strategy and Recovery Execution. The course also emphasizes the role of the credit manager in validating team-level analysis, approving case recommendations, and managing segment-level exposure, including oversight of cost-benefit evaluation, documentation standards, exception handling, and escalation protocols aligned with credit committee priorities.