Research On The Credit Risk Pre-warnings Of Ali Small Loan

With the informational technology currently booming in a increasing pace and the national economy steadily soaring, internet technology faces application in wider realms, and various sorts of economic and social innovations dependent on the rise of the informational technology have been a frequent occurrence. Among them, finance, lying in the heart of the economic growth, has been in the combination with the internet, nurturing the novel developing pattern of internet finance, in turn spurring traditional finance on to further reforms and business upgrades. As internet finance goes through several years of practice and improving, multiple risks associated with finance and especially credits unveiled in the process have attracted more recognition.In this article, we pick Ali small loan, representative of the patterns of internet finance, for example analysis, based on theoretical directions against today’s background. We first categorize multiple views from experts at home and abroad on internet finance with its risks, defining the concepts, characteristics and primary patterns of internet finance.Secondly, we take a further step exploring the credit risks in internet finance, seeking its main cause and primary affecting factors, as well as listing out business patterns and procedures of Ali small loan, in the meantime discussing its controlling mechanisms of credit risks in three dimensions of time, namely before-credit, in-credit and after-credit.Moreover, based on the introduced necessity and practicing procedures of credit risk alerts, we theoretically discuss the practicing principles of blurred gray integrated assessment and practically make concrete calculations and example-based analytical verifications on multiple cases of Ali small loan, eventually reaching according conclusions.Finally, with preliminary results as researching foundations, we introduce several countermeasures and advise on the credit risk alerts of internet finance.