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Unlike senior debt, the issuer has freedom to suspend coupon payments and defer repayment of principal.
Triple A is the top investment grade rating, meaning that the issuer has an "extremely strong" likelihood of repaying bondholders.
Every major credit card issuer has been approving fewer new applicants, reining in credit lines and canceling unused accounts.
Sometimes agencies issue a rating even when the issuer has not requested it and has no intention of paying for it.
As borrowers become "distressed," the credit card issuer has more time to pile on interest charges and fees until the client actually goes bankrupt.
Our securities laws are designed with the assumption that every issuer has someone at the helm who can authoritatively disclose the relevant material information about the organization.
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Issuer had adopted 5%/1 year provision.
Shares in LG Card, the country's largest issuer, have fallen by about one-third since June.
Moreover, the riskiness of these issuers has fallen only slightly over the past year.
The proliferation of issuers has amplified the risks of hacking break-ins, an expert said.
So far, the commission's reticence to act on behalf of municipal issuers has left those issuers to take on Wall Street alone.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com