Definitions for "credit enhancement"
The process of reducing credit risk by requiring collateral, insurance, or other...
Financial guarantees or other types of assistance that improve the credit of underlying debt obligations. Credit enhancement has the effect of lowering interest costs and improving the marketability of bond issues.
It seems as though more and more lenders today require additional collateral, especially for new construction. A standby letter of credit, certificate of deposit, or bank guarantee is the most common. Careful, there has been a considerable degree of fraud involved with this type of financing.
Any methodology that reduces the credit exposure of a transaction with a counterparty.
Keywords:  fiscal, audit, pro, sheet, balance
A fiscal structure that allows corporations to produce an audit balance sheet in place of a pro form balance sheet.