Research On Default Risk Of National Student Loan Project

The national student loan is a personal credit loan without security granted to whole-day college students with financial difficulties by the commercial banks, which are authorized by the State Council and appointed by the government. It is to help those students to pay for the tuition, housing fee and the everyday expenses.Same as the other projects, the National Student Loan Project has the usual properties, such as the periodicity and objectivity, so it is necessary to manage and control it. Different with the abroad, in our country without experiencing the history and market, the student loan project is not the result of the spontaneous financial innovation, so many potential risks emerged, such as students'breaking the promise, the bank's stopping handling the loan and credit stinting, the university's unwilling to cooperate and the government's weak coordination. Especially due to the high risk of the national student loan, at the repayment peak, the average default rate of the national students approximate twenty percent, greatly exceeding four percent, the profit balance point of the bank, leading to extreme increase of the project's risk, which also becomes the outstanding problem of our society and the key factor of impeding its development.After eight years'development, the National Student Loan has become a policy with the widest coverage,the largest strength and the most effective to help the needy students. However, at the arrival of the repayment, the emergence of default interferes with the smooth running of the project severely. So at the new situation, how to take measures to bring down the risk of the project means a lot to make sure its smooth running. As these measures are the one needed to stimulate the legalization of the national student load and the enthusiasm of the banks, promote the health development of the job of the national student loan, ease the burden of the university, transfer the focus of the job to the education of the students and strengthen the relations between the university and commercial banksThe ability of students'repayment has great relation with their anticipated gaining. In fact, the future income of the graduate differs a lot, no matter what country they are from. However, our country's single repayment manner makes it unfavorable to the continuous function of the project. By introducing the definition, process and control manner of the project risk and combing the various manners of management and control of the project risk, this thesis begins from the reality of the project and analyzes the management of the national student loan with the empirical analysis and normative analysis method from two point-views----the bank and the students. At the end of the thesis is the result of the research----an index system to control the default risk and a file management system to appraise the credit of the students. All in all, the purpose of the research is to reduce the risk at maximum limit, reach a feasible conclusion which is also comprehensive, scientific and reasonable conclusion on reducing the risk, and go a further step to take measures to solve the problem. All of the above things can also provide good material for the similar research.