credit ratingcredit rating
credit rating - Investment & Finance Definition
A formal evaluation of an individual’s or company’s credit history and ability to repay obligations. Many firms investigate, analyze, and maintain records on the credit responsibility of individuals and businesses. A credit rating is based on the number of outstanding debts and whether debts have been repaid in a timely man- ner in the past. The best-known business credit rating agencies are Standard & Poor’s, Moody’s Investors Service, and Fitch Ratings. Other agencies specialize in credit ratings of individuals.