Company: BBD
Filing Date: 2025-03-31
Form Type: 20-F
Source: 0001292814-25-001244
Chunk: 402

Company: BANK BRADESCO
Filing Date: 2025-03-31
Form: 20-F
Item: Item 19
Chunk 402
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 centralized and independent manner.

Both the governance process and limits
are validated by the Integrated Risk and Capital Allocation Management Committee, submitted for approval by the Board of Directors, and
reviewed at least once a year.

The structure of credit risk management
is part of the second line of the Company, several areas actively participate in improving the client risk rating models.

This structure reviews the internal processes,
including the roles and responsibilities and training and requirements, as well as conducts periodic reviews of risk evaluation processes
to incorporate new practices and methodologies.

Credit Concession

The Company’s strategy is to maintain
a wide client base and a diversified credit portfolio, both in terms of products and segments, commensurate with the risks undertaken
and appropriate levels of provisioning and concentration.

Under the responsibility of the Credit
Department, lending procedures are based on the Company’s credit policy emphasizing the security, quality and liquidity of the lending.
The process is guided by the risk management governance and complies with the rules of the Central Bank of Brazil.

The methodologies adopted value business
agility and profitability, with targeted and appropriate procedures oriented to the granting of credit transactions and establishment
of operating limits.

In the evaluation and classification of
customers or economic groups, the quantitative (economic and financial indicators) and qualitative (personal data, behaviors and transactional)
aspects associated with the customers capacity to honor their obligations are considered.

All business proposals are subject to
operational limits, which are included in the Loan Guidelines and Procedures. At branches, the delegation of power to the submission of
proposals depends on its size, the total exposure to the Company, the guarantees offered, the level of restriction and their credit risk
score/rating. All business proposals are subject to technical analysis and approval of by the Credit Department.

In its turn, the Executive Credit Committees
was created to decide, within its authority, on queries about the granting of limits or loans proposed by business areas, previously analyzed
and with opinion from the Credit Department. According to the size of the operations/limits proposed, this Committee, may be deliberated
jointly with the CEO.

Loan proposals pass through an automated
system with parameters set to provide information for the analysis, granting and subsequent monitoring of loans, minimizing the risks
inherent in the operations.

There are exclusive Credit and Behavior
Scoring systems for the assignment of high volume, low principal loans in the Retail segment, meant to provide speed and reliability,
while standardizing the procedures for loan analysis and approval.

Business is diversified wide-s