Analysis Of The Credit Risk Rating Of Borrowers In P2P-lending

In recent years,P2P lending developed very fast. It increased at a rate of several times per year. But the P2P lending industry is still in a primary stage of development and the regulation and regime are imperfect. Because of these, there appear a lot of problem companies. Different from the commercial banks, most P2P lending companies have a less registered capital, a mess management and lack a system to assess credit risk. These bring a serious potential credit risk and affect the development of the P2P lending industry.This paper states the characteristics, risk and development history of P2P lending and the basic theory of SVM. Then this paper creates an indicators system by studying the indicators system of the traditional bank for evaluating the personal credit risk. And it analyzes the feasibility of evaluating the credit risk of borrower in P2P lending on the basis of the indicators system. It also uses the date that comes from the P2P-lending company to do an empirical analysis. The results shows that SVMs can predict the credit risks of the lenders well, it can exactly classify different lenders. And SVM performs well in the situation where dismissed some data.