> ## Documentation Index
> Fetch the complete documentation index at: https://docs.tythe.finance/llms.txt
> Use this file to discover all available pages before exploring further.

# Principal Underwriting

> Your Credit Rating and Credit Limit: what they are from your side, what they open, what moves them, and what to do when you disagree with one.

Every principal is underwritten from its first day on Tythe. You do not apply for it, and you do not need it to hold, pay, save, or lend. You need it to borrow and to delegate, and it improves as you operate. This page is the principal's view: what your Credit Rating and Credit Limit are, what they unlock, what changes them, and how to dispute them.

### What you receive

<CardGroup cols={2}>
  <Card title="Credit Rating" icon="star">
    A bounded assessment of your creditworthiness, with a confidence band and reason codes. Your Rating places you in a band.
  </Card>

  <Card title="Credit Limit" icon="gauge-high">
    A USDC ceiling on what you can have outstanding at once, sized to serviceable capacity and anchored to durable revenue. Conservative at launch by design.
  </Card>
</CardGroup>

Both reach the chain as a signed attestation that the contracts check against registered caps, so neither can be set higher than the protocol allows, whoever signs it. Both are shown in your console with the model version that produced them and the date they expire.

### What your band controls

| Your Rating band sets | Effect                                                                                                     |
| --------------------- | ---------------------------------------------------------------------------------------------------------- |
| The APR curve         | Every Loan you or your agents draw prices from your band's curve, fixed at origination for the Loan's life |
| The lien fraction     | The share of your account balance pledged as Coverage on each Loan. A thinner band pledges more            |
| Your available limit  | Credit Limit minus outstanding principal. Your agents' credit shares are fractions of this                 |

Your Credit Limit is not a revolving line. It is the ceiling on outstanding principal; each draw is a separate fixed-term Loan against it.

### The three sources, from your side

| Source            | What you do                                                                | What it gives you                                                                                                   |
| ----------------- | -------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------- |
| On-chain history  | Bind the wallets you operate from. More history, more wallets, more signal | A rating on day one, with a wide confidence band                                                                    |
| Activity on Tythe | Operate: pay, delegate, repay, lend, save                                  | The strongest signal, because it is first-party and verified. Repayment history is the single most predictive input |
| Bank data         | Connect accounts through your regional provider with a signed Data Consent | A view of off-chain revenue and balances the chain cannot see; a tighter band                                       |

You are ratable on the first source alone. Nothing else is required. A principal that only ever holds and saves is still rated, from its history, so that Borrow and Delegate are ready when it wants them.

### What moves your rating

<AccordionGroup>
  <Accordion title="Up" icon="arrow-trend-up" iconType="solid">
    Stable and growing revenue. Diversified counterparties. Consistent runway. Clean repayment on Loans. Agents that operate inside their mandates. New sources connected. Time.
  </Accordion>

  <Accordion title="Down" icon="arrow-trend-down" iconType="solid">
    Revenue volatility or decline. Concentration in a few counterparties. Missed capture. A dispute that resolves against you. A suspension. Revoked consent removes a source and widens the band.
  </Accordion>

  <Accordion title="Never" icon="ban" iconType="solid">
    Protected characteristics. Data you have not consented to. Another principal's bank data. Negotiation.
  </Accordion>
</AccordionGroup>

The model that produces your rating cannot contradict established credit science: greater revenue stability can never lower it, higher concentration can never raise it, a longer clean repayment history can never hurt it. See [Entity underwriting](/get-started/resources/intelligence-entity-underwriting) for the model.

### When your rating changes

Your rating refreshes weekly, and on triggers: a large balance change, a missed capture, a dispute, a newly connected source, a suspension. Each refresh is a new attestation with a new expiry.

If your Credit Limit falls, your existing Loans keep their terms. What shrinks is what you can draw next, and your agents' credit shares shrink with it in the same block. If your Credit Limit rises, nothing changes until you or an agent draws against the new room.

### Reason codes and disputes

Every rating lists the factors that most affected it and the direction of their effect. If you believe a factor is wrong:

<Steps>
  <Step title="Open the rating in your console">
    Read the reason codes and the sources each one drew on.
  </Step>

  <Step title="Dispute the factor">
    Submit the dispute with any supporting information. Where the factor concerns a revenue tag, capture on the affected inflow pauses until the dispute resolves.
  </Step>

  <Step title="Review and correction">
    Tythe reviews the input and the model's treatment of it. Where an input was wrong or mishandled, the correction lands in your next attestation.
  </Step>
</Steps>

A dispute can correct an error. It cannot change a rating that reflects the data correctly.

### What your rating is not

* Not a promise of credit. It sizes what you can draw; the reserve floor and market liquidity also gate origination.
* Not public. Your rating is visible to you and used by the contracts. The aggregate distribution is published on the dashboard; your individual rating is not.
* Not a score of you as a person. It is an assessment of the financial activity of the principal, individual or entity, on the data you have made available.

<CardGroup cols={2}>
  <Card title="Borrow" icon="scale-balanced" href="/principals/account/borrow">
    How your Rating and Limit become Loans.
  </Card>

  <Card title="Delegate" icon="robot" href="/principals/account/delegate">
    How your agents draw within their credit share.
  </Card>
</CardGroup>