Level 1 Approver Playbook & Checklist

This checklist ensures that the Level 1 approver reviews all key elements of a credit application 

before approving, escalating, or requesting additional information.

The objective is to ensure that common credit risks, fraud indicators, and documentation 

issues are not missed.

Level 1 approvers act as the first line of risk control.

1. Overview – Confirm Basic Information Start by reviewing the Overview section of the application. Checklist

☐ Confirm Customer Name

☐ Confirm Registration Number / Legal Entity

☐ Confirm Salesperson / Account Manager

☐ Confirm Application Date

Questions to Ask Yourself

• Do I recognise this company?

• Is the correct legal entity applying for credit?

• Does the salesperson match the expected relationship owner? Purpose Ensures the application belongs to the correct business entity and salesperson before reviewing 

risk details.

2. Open the Supporting Documents Use the available buttons to review the full information. Buttons to Check

☐ Full Application

Review the complete credit application submitted by the customer.

☐ Credit Research Report

Review bureau data and Trade Shield risk analysis.

Verify the following ☐ Requested Credit Limit ☐ Requested Payment Terms

☐ Banking Details

☐ Uploaded Documents

Questions to Ask 

• Does the application look complete? 

• Are there any obvious missing documents?

• Do the requested terms look reasonable?

3. Check Existing Exposure (If Customer Already Exists) If the company already trades with you, check existing exposure. Section to Review

Group Exposure (Estimated)

Checklist

☐ Does the company already have an account under the same registration number?

☐ Check Current Exposure ☐ Confirm whether the exposure is within acceptable limits.

Questions to Ask 

• Are we already trading with this customer? 

• How much credit is currently exposed?

• Would approving this request create excessive exposure?

Purpose Prevents overexposure to existing customers.

4. Review Comments and Additional Documents

After submission, additional information may be added. Check ☐ Internal comments

☐ Sales comments

☐ Additional documents

Examples 

• Financial statements uploaded later 

• Sales justification

• Updated company documentation

• Risk team notes

Questions 

• Did someone add information that changes the risk assessment? 

• Did the sales team explain the credit request?

5. Review the Recommended Action Trade Shield provides a recommended decision based on risk analysis. Check

☐ Recommended Credit Limit

☐ Recommended Terms

☐ Risk Scores / Risk Indicators

Important The recommendation is guidance, not an automatic approval.

6. Review the Limit Recommendation Review the Recommended Action section.

Confirm the Limits 

☐ Requested Credit Limit 

☐ Recommended Credit Limit

☐ Maximum Risk-Adjusted Limit

Understand the Difference Maximum Risk-Adjusted Limit The maximum amount the customer can afford based on financial capacity only.

Recommended Limit

The affordability limit adjusted for risk indicators.

Because of these risks, the recommended limit may be lower than affordability.

7. Check How the Limit Was Calculated Review the section: How We Calculated This Limit Recommendation

Bank Statements 

☐ Confirm whether bank statements were captured If used, confirm:

☐ Three consecutive months provided

☐ Latest three months provided

The system will display the dates used in the calculation.

Financial Statements ☐ Confirm financial statements were captured Check:

☐ Financial statement year

☐ Signed by auditor if required

If financial statements are not signed, Trade Shield may not capture them.

If Maximum Capacity Is Blank If nothing appears under Maximum Capacity: • No financial information was provided

• Trade Shield could not determine affordability

In this case, the limit recommendation is based only on risk indicators.

8. Skip Application Exception If the application was submitted using Skip Application, Trade Shield validation did not review 

documents.

Level 1 must check carefully.

Checklist

☐ Financial statements present

☐ Bank statements present ☐ Documents uploaded separately

Important Upload Rule Do not bundle documents together. Upload individually:

• Application

• Financial Statements

• Bank Statements

• Supporting Documents

If Documents Are Missing You must: Request documents from the customer.

Reprocess the application.

Generate a new limit recommendation.

9. Check Knockout Rules Before reviewing further, confirm knockout checks. Checklist

☐ Company is in valid business status

Applications should not proceed if the company is:

• Deregistered

• Inactive

If the company is not valid → trade on COD

10. Review Risk Scores Trade Shield provides two risk scores.

Payment Risk ☐ Payment Risk Score Measures likelihood of being paid on time.

Default Risk 

☐ Default Risk Score Measures likelihood of financial distress in the next 6–12 months.

Unknown Scores If one score is unknown → use the other. If both are unknown:

• Only statutory information exists

• No behavioural or financial data

The system may revert to the minimum credit amount.

11. Review Sales Motivation Review the sales team justification.

Checklist 

☐ Sales motivation provided 

☐ Supporting documentation attached

Questions 

• Why is this limit required? 

• Does the justification make sense?

12. Review the Full Credit Application Open the Full Application.

Confirm Customer Details ☐ Customer name 

☐ Registration number

☐ Department / branch

Confirm Credit Terms 

☐ Requested credit limit 

☐ Requested payment terms

☐ Limit recommendation

Confirm Application Details 

☐ Who submitted the application 

☐ Submission date

13. Review Uploaded Documents Download and check all attachments

Company Registration Documents

☐ Check document issue date 

☐ Confirm directors listed Directors must match the credit report.

Bank Letter If provided, confirm: 

☐ System generated

☐ PDF format

☐ Correct company name

Identity Documents 

☐ Director ID copies provided

14. Signature Validation: Confirm who signed the application. 

Checklist 

☐ Correct person signed 

☐ Email address is legitimate

Red Flag Personal email addresses such as: gmail.comyahoo.com hotmail.com

may require further verification.

Signing on behalf of a director may constitute fraud.

15. Review Custom Questions Trade Shield may include custom questions. 

Confirm

☐ All questions completed

☐ All required documents uploaded  

☐  Documents in correct format

16. Review the Credit Report Open the Credit Research Report. Confirm

☐ Directors match registration documents

☐ Director ID numbers match

☐ Business information matches the application

Additional Risk Checks 

☐ Review other companies directors are involved in ☐ Confirm those companies are in valid status

☐ Check for judgements

☐ Review judgement value and age

☐ Review age of directors

17. Validate the Business Location Verify the business location. Steps

Search the delivery address using Google Maps or Street View.

Confirm:

☐ Address exists

☐ Location appears to be a legitimate business

Red Flags 

• Residential property 

• Vacant land

• Unrelated building

• Investigate further if this occurs.

18. Final Checks Before Approval Confirm the following were reviewed: 

☐ Risk scores

☐ Financial information

☐ VAT information

☐ Signatures and identity verification

19. Confirm Final Limit and Terms Before clicking Approve, confirm: 

☐ Approved limit is correct

☐ Approved payment terms are correct

If they differ from the request, update them before approval.

20. Add Approval Notes When approving, include a summary comment. Your note should include:

• Key information reviewed

• Any concerns identified

• Confirmation that documents were validated

Example Comment "Reviewed financial capacity, bank statements, and risk scores. Directors and ID documents match 

the credit report. No validation issues identified. Limit recommendation aligns with requested terms."

21. Level 1 Decision Choose one of the following:

Approve 

☐  Information complete  

☐ Exposure acceptable  

☐ Recommendation aligns with policy

Escalate 

☐ Risk indicators require senior approval 

☐ Limit unusually high

Request Information 

☐ Missing documents 

☐ Incomplete application

Common Mistakes to Avoid Before approving, confirm: 

☐ Correct legal entity reviewed

☐ Existing exposure checked

☐ Requested vs recommended limits compared ☐ Supporting documents reviewed ☐ Additional comments reviewed