Research On Internet Financial Credit Risk In China

Internet finance is a new financial model that innovates and develops under the trend of rapid development of Internet in the financial sector.Compared with traditional financial products and patterns.the Internet financial has traditional financial incomparable advantages.Internet financial runs the Internet as the operating carrier,and rapidly develop by making full use of convenience.high efficiency;no boundaries.no regional and low cost etc advantages of the Internet.Because the Internet financial possess these characteristics,the Internet financial not only owns some the credit risk of the traditional financial do.but also creates new credit risk problem,which brought new impact to the whole financial industry.Based on the study of our countrv Internet financial credit risk.firstly the paper introdLuces the research background,significance.Then the paper has carried on the detailed introduction about the financial type.current situation of the development,sources of credit risk and so on of the Internet financial in China.In empirical research part.the paper bases on the P2P lending industry in our country as an example for empirical study on credit risk.About the credit risk ofP2P lendinr in our country comes from two parts.one part comes from the P2P lending platform.and the other part comes from the borrower.In the part of credit risk ofP2P lending platform.author use for reference expert system,such as the "5C"."5P" and "CAMELS"assessment method.According to the characteristics of P2P lending in China.author select relevant index and establish assessment index system.Then the comprehensive expert advice to each index weight assignment.author set up a credit risk assessment model about platform for empirical research.Finally it is concluded that various indicators makes impact degree on the credit risk of the platform.In the part of the borrower credit risk,author uses the Logit model to conduct an empirical study.Author collect a number of experimental data from the "renrendai" website.and classify,process and quantify the data.Reference to the index system that commercial banks assess personal risk assessment.The author makes an appropriate selection and replacement of the indicators needed by the Logit model operation to form P2P borrower credit evaluation index system.And then,through analyze the Logit model calculation results,we can concluded that various indicators makes impact degree on the credit risk of borrower.Finally,based on the research results,author put forward some suggestions on how to improve the credit of Internet financial in China,in order to achieve the goal of healthy and stable development of China's Internet financial industry.