Founded on the 1st day of April 1985, the Japan Credit Rating Agency Ltd. (JCR/JCRA) is a Tokyo-based organization. Japan Credit Rating Agency Ltd. is primarily engaged in the rating of both long-term and temporary debt obligations, and other related activities as well. The other areas of operation of the Japan Credit Rating Agency Ltd. includes the following:
- In-depth study of the international economic and political situations
- Researches on the different industrial trends
- Researches on local and global markets
- Information and publication services associated with credit ratings and research works
- Asset-backed securities
Different types of credit rating services rendered by Japan Credit Rating Agency Ltd.
- Long-term Senior Debts Rating: It is different from the credit rating of any special financial obligations in the sense that it considers the provision and nature of the obligation and its junior or senior status, as well as its endurance at the time of financial bankruptcy. It evaluates the monetary capabilities of the issuer or obliger for overall repayment of the debt amounts.
- Short-term Senior Debts Rating: This kind of rating takes into account the financial strength of the issuer, for paying back the all pending debt obligations within a timespan of a year.
- Long-term Credit Ratings: These are basically gradings which allow comparisons of the financial capacity of the debt obliger to repay back the loan amount, within the time period mentioned in the contract. This type of rating is applicable mostly in cases of bonds and other financial programs such as medium-term note programs.
- This credit rating bears similarity with long-term credit ratings. However, it is relevant in case of specific debt obligations like commercial-paper programs (Certified and Electronic CPs) and short-term financial obligations like "Short-term Senior Debts".
- Servicer Rating
- Fund Credit Rating
- Short-term Fund Credit Rating
Credit rating procedure followed by JCR:
- Evaluation of the credit strengths of the clients
- Scrutinizing the possibilities of recovery and suggesting methods to that effect, after going through the financial potentials of the clients
- Indicating the benefits acquired from such credit ratings in future
