Rural Credit Cooperatives Farmers Loan Default Risk

With the continuous development of the rural economy, the rural financial sector development in depth, the development of China’s rural credit cooperatives, however, is still in the preliminary stage of development, rural credit cooperatives in the proportion of deposits and loans is much higher than commercial banks, rural credit cooperatives profit almost completely from the deposit and loan spreads. Larger and by the impact of natural disasters in agriculture compared to commercial banks, rural credit cooperatives loan risk is even higher.In this context, Nanjing rural credit cooperatives, for example, first analyzes the overall area of the rural credit cooperatives, rural credit cooperatives operating conditions, followed by analysis of the operating conditions of the rural credit cooperatives, from the microscopic point of view, focus on the analysis of the various factors that affect the risk of default of the rural credit cooperatives. The random sample of customers of the rural credit cooperatives as the sample data, trying Logit regression model, selected11kinds of factors that may affect the breach occurred, the sample data regression analysis of the impact of rural cooperative credit union loan risk the factors.Finally, the combined risk of loans the theory and loan pricing theory, make policy recommendations for the to circumvent loan risk, improve loan business operation as well as to strengthen the post-loan three; most important thing is to build a certain loan risk factors affecting assessment system, I hope the system can accurately determine the farmers loan default tendency to establish important criteria for future loan payment, saving the time of loan approval, and improve the efficiency of the loan to ensure the good operation of the rural credit cooperatives.