Risk Factors Affecting Farmers Microcredit Loans

China is a large agricultural country,and the development of rural society is related to the overall sustainable development of China's social economy.Under the background of the new normal era,improving the inclusive financial system in rural areas has important practical significance for promoting the settlement of the "three rural issues".Shaanxi Province,LT Credit Union launched the microfinance business in the "three rural",to the local farmers' income,poverty alleviation has played a positive role in promoting,and achieved fruitful results at the same time,the credit risk facing the pressure is increasing.For this reason,this paper probes into the influencing factors of small credit loan risk of peasant households by means of literature analysis,case analysis,qualitative and quantitative analysis,and puts forward some corresponding countermeasures.Through the study of this paper,we can see that:first of all,LT credit union is the largest financial institution in the local and it is also the main financial institution in the region to bear the responsibility of benefiting agriculture and supporting agriculture.At present,the overall NPL ratio of rural households is declining,but the rate of decline is slow.The credit risk of LT credit cooperatives is still relatively large.The risk of micro credit loan of LT Credit Union mainly includes liquidity risk,market risk,credit risk,operation risk and legal risk.The risk factors of small credit loans for farmers in LT credit cooperatives mainly come from the aspects of farmers themselves,loan characteristics,and banks.Secondly,in the three direct factors that affect the risk of small credit loans of farmers in LT Credit Union,the proportion of farmers' own factors is the largest,but in turn it is characteristic factors of loans and bank factors.Therefore,we should pay more attention to the risk factors from the farmers' credit risk prevention in the LT credit union.In addition,the loan characteristic factor also needs to have the certain degree of attention.Again,including small farmers credit risk prevention and control countermeasures:strengthening the macro environment analysis to improve the LT credit union credit risk analysis ability,improve the management mechanism of microfinance,improve the training mechanism of microfinance business personnel,risk supervision system of microfinance loan fully established after the farmers to improve awareness of integrity and perfection of Farmers Insurance system.Finally,this paper summarizes the research contents of this thesis.