The Impact Of Individual Consumer Characteristics On The Success Rate And Default Rate Of Online Lending

Consumption has become the engine of national economic growth.Expanding consumer demand and promoting the upgrading of consumption are important measures of steady growth and structural adjustment of economy.Since June 2015,the State Council has repeatedly encouraged the development of consumer finance.In particular,the gradual formation of online consumption and financial habits facilitate the development of Internet consumer credit.Compared with the traditional loans,consumer credit has characteristics of small single loan amount,fast approval,unsecured loans,short term,so the potential individual characteristics information value of consumers is particularly important in the application of consumer credit.This paper,using the consumer credit data of Pterosaur Loan,adopts binary logistic regression model to study the impact of individual consumer information on consumer credit based on the micro perspective.There are two main aspects in the research.The first is research on the information recognition ability of the consumer credit borrowers on the platform,which is judged by comparing the common factors of individual characteristics on the default rate and the success rate.The second is research of the information value of the individual characteristics of borrowers,and further sort the variables of individual information feature through the information gain algorithm.Finally,three main findings of this paper are the followings:first,on the research of information recognition ability,investors on the platform do not completely recognize the borrower's default risk,for one reason is some investors' discrimination behavior;another is inaccurate assessment of the platform itself on the borrowers'credit risk which misleads investors to some extent.Second,in the study of the individual characteristics of the borrower information value,although the information is valuable,but to disclose too much information may not be able to improve the success rate of the loan,so the research on the importance of information in the value of the platform itself is more important,then found relatively more valuable information variables.Third,based on the characteristics of the platform,this paper uses the variables of household balance information which are rarely seen in the other paper.The result shows that the structure and period of household balance and real estate property significantly influence loan success rate and default rate,which may give a certain help of variables selection in credit rating model.