The Research On The Function Of Credit Investigation System In Financial Development

The modern credit industry originated in the early 19 th Century London tailor industry.At the first,it serves to prevent from personal debt default,till now it has been developed over 200 years in the history.With the development and prosperity of the financial industry,to serve the growing credit sector better,the global credit industry has been rising rapidly,which generates the market-oriented mode,government–oriented mode and mixed-regime mode,and credit industry has occupied an important position in the global financial system.China's credit industry has sprouted since 1930 s and entered a formal development since 1998.In the Public dimension of credit system,People's Bank of China led the establishment of a unified national financial credit information database,which established a credit file record for the country's 910 million natural persons and 21,770,000 enterprises and other organizations.In the meanwhile,as the new industry entrants,the private credit institution executes the different operations from the public credit system,holding its comparative advantages by providing its service and product in the specified targeted field.With the development of E-commerce and social network,the regulators have lower the industry entry criteria,Big-techs such as Alibaba and Tencent started to establish their own data base by exploit the technology,such as big data and search engine.As the private credit institutions have entered into the industry,the regulators must face the challenges as well.Based on the foundational in the financial development,the application of big data and internet finance,it has deeply changed the development of the credit industry.Therefore,the paper selects the functional issue to further the study and research.This paper start to explore the origin and development path,it has clearly defined the definition and outreach,recognizing the insights of credit,testify that financial structure has imposed the decisive affect.And this paper locates the function of credit system in the financial development from the micro,mid,macro,3 aspects and in depth-exploration of the specific development path from the financial structure,function,ecosystem.Based on the theory research,this paper establishes the model to testify national public's accelerate the credit business and exploit the individual credit system,student-loan,related credit card data to further the practical research.Therefore,thispaper comprehensive study the evolving function of credit system,especially on the new characteristic of credit system evolution in the era of internet-finance and it implies that technology improvement the key driven force in the credit system evolution.Additionally,given the emphasis on research of credit function failure and negative effects,to ensure the independence of credit institution,improve the safeguard mechanism of information subject's interests and maintain the credit data security,so on.At the last,referring to the theory guidance and international experience absorption and practical research outcome,related to national financial development needs.This paper will propose political recommendations t optimize credit system.The innovation highlights reflected in the following aspects:(1)A relatively new topic.The credit system has become the cornerstone of the financial system,and the credit system contribute is a decisive infrastructure in the financial sector.Given that,a sound credit system is an important indicator to value the market economy's level of maturity.Therefore,based on financial development background,on the preliminary existence conditions of credit system,ground and the evolving process;functional views,from the micro,mid,macro,3 dimensions,balance the functional targeted and functional regime on the positive and negative side.This paper studies the issues of system failure,optimization and attaches the great theoretical and practical impact.(2)Theoretical research is more systematic.Based on the theory of financial inter-mediation,this paper discusses the origin of credit investigation,reveals that the credit function is the separation and specialization of financial intermediary function,and then expounds the essential characteristics of credit investigation from different angles.(3)This paper imposes significant reference on the empirical research.It proves that a stable co integration relation exists among national financial institutions loan and GDP,monetary based and credit system from the VAR model establishment and a significant facilitation to improve loan origination.The empirical research proves that individual credit system imposes an obvious affection on student loan and fiduciary loan.This paper enriches and diversifies the credit system functional practical research achievement with a certain significant reference impact.Considering the credit system exhibition is relative short,there are still some theory research and practical issues to be solved.In the empirical field,with constrains of creditsystem available data;it is difficult to fully test the credit system for loans,and reduce the default rate also upgrade the financial efficiency.There is still further room to be improved.Moreover,with constrains of time and ability,there are more to balance and coordinate between credit system and financial development,for example “How to strengthen the function of credit reporting system in the new situation”.