The Study Of Individual Credit Risk Evaluation In China's Commercial Banks

In 2007 The United States sub-loan crisis outbreak, which caused a global financial crisis, at the same time the crisis made people pay more attention to individual credit risk. With China's sustained and rapid economic development and continuous improvement in people's income level, individual credit businesses also made significant development. However, commercial banks can't measure and evaluate accurately consumer's credit in the individual credit businesses, which restrict the development of individual credit businesses in China's commercial banks and also make that China's financial system potentially exist credit crisis. Therefore, it is a practical significance issue that study of individual credit comprehensive evaluation in China's commercial banks.The paper introduced and analyzed first of all the existing credit evaluation method and several used credit evaluation models, and pointed out the problem what these models had existed, such as the reliability of sources is not high, the concept of score is fuzzy, evaluation index is too much. Meanwhile, this paper established a personal credit evaluation index system made up of personal basic conditions, value systems, reputation systems and the relationship with the Bank based on absorbing and learning from David Durand's score model, the United States FICO score model, the Construction Bank personal credit rating approach; this essay applies theory of Analytic Hierarchy Process to creating personal credit rating system indicators to measure and evaluate consumer's credit. On the basis of that the essay applies the Fuzzy Comprehensive Evaluation in Fuzzy Mathematics to establishing a consumer credit evaluation model and makes empirical analysis in order to check the validity of the new model put forward by myself. The results showed that the personal credit evaluation model based on the Fuzzy Comprehensive Evaluation method in the evaluation of personal credit risk clearly superior to existing methods of personal credit evaluation of case banks.This paper used a combination of qualitative and quantitative analysis method, have come up with a Personal Credit Evaluation based on the AHP and a fuzzy comprehensive evaluation of consumer credit. In a word, it's my best pleasure if my idea is useful for improving credit evaluation in China's commercial banks.