Finance and Funds

Counterparty default risk

0474-en WI200 Financial Management As of 11.07.2026


The risk that the counterparty to a contract does not comply, only partially complies or does not comply in a timely manner with its obligations. When granting credit, the credit institution enters into the risk of the borrower no longer being in a position to repay the credit.

Deutsch

Kontrahentenausfallrisiko 0474-de

Das Risiko, dass die Vertragsgegenseite ihren Verpflichtungen überhaupt nicht, nur teilweise oder nicht fristgerecht nachkommt. Bei der Kreditvergabe geht das Kreditinstitut das Risiko ein, dass der Kreditnehmer nicht mehr in der Lage ist, den Kredit zurückzuzahlen.

Suggested citation

Counterparty default risk (0474-en), in: LAWPEDIA®-Glossar, provided by LAWCONSULT AG, www.lawconsult.ch/lawpedia/en/counterparty-default-risk, as of: 11.07.2026 [accessed on ].

The entries in the LAWPEDIA® glossary serve general information purposes and do not constitute legal advice. Despite careful preparation, LAWCONSULT AG accepts no liability for the accuracy, completeness or timeliness of the information.

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