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Credit Rating

Definition of 'Credit Rating'

This is a broad classing of credit scores, which in turn determines risk. For consumers, credit ratings fall into 5 bands, one star to five stars, where one star relates to sub-prime credit customers and five stars relate to super-accepts and generally undoubted customers. Average risk consumers score three stars. For companies, credit ratings are given by specialist firms such as Standard and Poors or Moody, and are expressed in letters. AAA+ is the best corporate rating.

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