A Study On The Factors Affecting The Availability Of P2P Farmer Loan

Farmers financing problems has been existed for a long time and has been plagued the development of rural economy for a long time.Although interest rate for formal finance in rural areas is relatively low,farmers are difficult to obtain loans from formal finance becouse of the high demand for collaterals.Farmers in remote areas are less likely to get loans because of the difficulty of reaching the physical network of financial institutions.Traditional informal finance focuses on the social network of farmers and becomes an important channel for farmers loans,but there are geographical restrictions based on acquaintances.In recent years,P2P lending has been developing rapidly in China.Some farmers are no longer limited to obtaining funds from traditional formal and informal financing channels.P2P borrowing provides new financing channel for farmers.The paper studies the peasant's P2P lending characteristics and the factors that influence loan availability,which is a powerful way to supplement the study of traditional farmer's loan and of practical significance to explore ways to alleviate the problem of farmers' loans.This paper puts forward the hypothesis of factors that influence farmer loan availability,based on the theory of financial exclusion,information asymmetry theory,credit rationing theory and the basic characteristics of farmer loans.Then,the paper analyzes the characteristics of P2P peasant loan by data statistics,and establishes the Logit model to study the influencing factors of farmer loan availability.Finally,the results of this study and the regression results of the model are compared with those of traditional farmer loans.The research of this paper has some new discoveries relative to traditional research.Statistical analysis shows that P2P peasant loans are mainly productive loans.Pterosaurs on the Eloancn platform have low level of education,unenough insurance awareness and social security.Most of the borrowers are male.The model analysis shows that:Borrowing elements and individual characteristics of farmers will affect the availability of loans to farmers,and investor discrimination can also lead to differences in availability.Loan availability is higher when borrowing rates are higher,term is longer,and the loan is for productive use.Famers are easier to get loans when they have better assets and liabilities situation,better social capitals(older and living in rural areas for a long time),better credit situation(with the loan record,higher credit rating),better insurance situation(social insurance and commercial insurance),lower education degree.Marital status does not affect farmer loan availability.Investors' irrational discrimination against the sex of farmers and geographical rationality have affected the availability of loans to farmers.The availability of male is higher than that of women,and the availability of loans in the central and western regions is higher than that in the eastern region.P2P farmer loans can alleviate the problem of farmers' loans to a certain extent,meet the financing needs of middle-income farmers,raise the availability of loans to low educated farmers and the loans to farmers in the central and western regions,and support the development of agricultural production.However,low-income people are difficult to get loans even if they are willing to provide higher interest rates,so P2P lending can not be a good channel to help farmers out of poverty.