How is credit management defined?

There is no clear definition of what credit management is. It is usually regarded as assuring that buyers pay on time, credit costs are kept low, and poor debts are managed in such a manner that payment is received without damaging the relationship with that buyer. A trade credit insurance company does all that. Either directly or in conjunction with a company’s credit department. An approved credit management policy can offer assurances to a financing bank, which may facilitate financing.

See also:
What credit management tools are available to the credit manager?
How do credit limits work and what is their value? 
What happens if your customers don’t pay? 
How do debt collections work?
 
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