how do lenders measure the five cs of credit 
each lender will measure the five cs of credit capacity capital conditions character and collateral differently generally lenders emphasize a potential creditor s capacity or the amount of income they have relative to the debt they are carrying 10the bottom linecredit risk is a lender s potential for financial loss to a creditor or the risk that the creditor will default on a loan lenders consider several factors when assessing a borrower s risk including their income debt and repayment history when a lender sees you as a greater credit risk they are less likely to approve you for a loan and more likely to charge you higher interest rates if you do get approved 3