Personal Credit Evaluation System Construction

Personal credit rating of commercial banks plays an important role to accurately measure the credit risk of borrowers. This paper referes to domestic and foreign research results, credit scoring practice of domestic and foreign commercial banks , the experience of professionals in consumer credit business and information obtained from Internship in banks, bases on the existing personal credit scoring methods of domestic commercial banks, from five factors of the basic conditions of borrowers, professional information, family economic conditions, loan information and credit records of the past, re-designes the overall framework of the credit scoring model ,and detailly analyses refined elements and indicators of credit scoring model (as an example of credit scoring indicators of individual housing loans).Considering China's commercial banking industry and the implemention of the personal credit scoring model, constructs two models, the one bases on expert judgement and Analytic Hierarchy Process, the other bases on a quantitative model of the Logistic regression.This paper verificates these two models based on sample data of a state-owned commercial bank,showes that the model results of the evaluation is reasonable, and the combination of these two models -pose a credit scoring hybrid model forecasts higher accuracy than a single model. Finally, bases on China's personal credit system and the development status of China's personal credit system construction, mades recommendations to further improvement.