Empirical Research On The Credit Risk For Yinzhou Rural Cooperative Bank

The world financial situation suddenly became nervous and the world's major commercial banks have suffered tremendous blows in 2008 when the outbreak of the global financial crisis. It can be seen that the credit risk impact the banking survival and social stability on the long term. At present, the rural cooperative bank is not only the main force of China's rural finance but also the financial ties to contact with the farmers. It is very important to service three rural issues which are agriculture's, countryside's and farmers and to promote rural economic development. However, due to historical reasons and constraints, the management level of credit risk has been low in rural cooperative bank. What's more, with the expansion of business in recent years, the credit risk of rural cooperative Banks is increasing.Therefore, it is of the oretical and practical significance to study the credit risk characteristics of rural cooperative bank, establish an appropriate measurement model, accurate quantitative anglicizing the credit risk of rural cooperative bank loans, and propose appropriate counter-measures for improve the management level and reduce credit risk of rural cooperative banks.This article takes a combination of quantitative and qualitative research methods. Firstly, it is introduced the characteristics of credit risk and Yinzhou rural cooperative bank's credit risk. On this basis, according to its own and credit characteristics of Yinzhou rural cooperative banks this article builds a credit risk assessment model and evaluation index system for Yinzhou rural cooperative banks. Through the determination of enterprise credit rating coefficient, the loan business loans coefficient, loan morphological changes coefficient to analyse the credit risks for Yinzhou rural cooperative Banks. And advance an empirical analysis for the model. The empirical research shows that it has feasibility to analysis and evaluation of credit risks with CR model. Finally, this paper presents the credit risk prevention system: to construct structure of credit risk management organization; to create the atmosphere of whole risk control; to sound credit risk management information system and improve the credit risk controlling system. Through study on the resolve strategy for Yinzhou rural cooperative bank, it is playing a guiding role for the Yinzhou rural cooperative bank and other commercial banks in healthy and sustained development in the fierce market competition.