Micro-credit Risk Evaluation Of Micro-credit Company Based On The Intuitionistic Fuzzy-TOPSIS Method

Micro-credit is developing with the diversification of economy in our country, it is a kind ofbusiness loan which is for the personal or family, its main service objects are the small individualeconomies, and it provides them a small amount and reliable fund. It helps to solve the financingproblem of small economies. Because these small economies are generally in small-scale, they havefew kinds of businesses, they usually are not stable, and they have not the businesses which canrepay the loan persistently, they are lack for the ability to overcome the change of economic orcompetitive environment. All in all, they have a higher market risk. From the fact of micro-credit inour country, studying the customer’s credit rating is a core work to develop the micro-credit.Therefore, the customer’s reliability is becoming more and more important to the development ofmicro-credit. The theory of intuitionistic fuzzy set can reduce the uncertainty of real life well, andthen convert the problem from the qualitative to the quantitative to reflect the customer’s creditstatus of micro-credit intuitively. TOPSIS is aimed at solving the multi-objective problems ofindividual decision makers. It is a kind of sorting method which is closed to the current weightingmethod, it can reflect the alternative customer’s credit status, which solve the problem of customer’scredit evaluation for the micro-credit institutions.This paper elaborated the background and status of the research; It analyzed the presentdevelopment situation of small and medium-sized enterprises, and then it led to the problem offinancing difficulties of small and medium-sized enterprises. According to the properties of themicro-credit and characteristics of the small and medium-sized enterprises, this paper discussed therisks of micro-credit company, then we can get that the credit risk is the primary risk; It introducedthe emerging, development and basic principle of intuitionistic fuzzy set and the TOPSIS method,and it established the credit evaluation index system of small and medium-sized enterprises, then wegot the small and medium-sized enterprise credit risk evaluation model which based on intuitionisticfuzzy-TOPSIS method, the model gave the credit order of the small and medium-sized enterprise.Compared with the data by the experts, it showed the effectiveness of the proposed method. Finally,we proposed effective measures to resolve the corporate credit risk, which selected a new path oflending decisions for micro-credit companies.