The Research About The Impact Factors On The Credit Risk Of Peer-To-Peer Lending Borrowers

After the Internet Finance has been included in the "13th Five-Year" planning since2016,P2 P online lending,as a kind of the development pattern of the regulatory rules,has been implemented.From the government's financial and fiscal reformation policies,it is easy to see that the development of supporting small and medium enterprises has become the main theme.Small and micro enterprises,which account for more than 98%of Chinese enterprises,is significant for Chinese economic development.Under the background of the structural imbalance between the capital demander(enterprises' loans)and the providers(banks' hard loans),the development mode of P2 P network lending is more attractive to small and medium-sized enterprises and residents,and also more in line with its rigid demand.However,since the e rented treasure was investigated,the truth of some P2 P platforms,like big group,Pan-Asian financial exchange,came to the surface.The problem of "cash in difficulty" and "lost link running road" had caused a great trust crisis in the whole industry of P2 P.As the downward pressure of macro-economy continuously increases the non-performing loans.The credit risk is gradually released.The bad rate of P2 P Online Lending will increase faster since its asset quality is far lower than that of banks.At the same time,cash loan,as a representative of net loan platform has the overdue amount of 1 trillion and 140 billion yuan,involving 1 million and 80 thousand people.Therefore,if the credit risk of network lending borrowers has lack of effective identification and prevention for a certain time,the healthy development of the P2 P industry will encounter serious challenges.This paper studies the affecting factors of the credit risk of P2 P loan borrowers.RenRenDai platform has the leading edge in terms of volume,participation,comprehensive strength and so on,with a property of an open,transparent and complete information for borrowers in bulk.Therefore,In this paper,by collecting the borrower's information through the network crawler,using principal component analysis and Logistic regression model,RenRenDai,as the research object,has been investigated in five different aspects as the basic characteristics and the repayment ability of the borrowers,loan characteristics,historical information and authentication information to analyze the credit risk of P2 P Online Lending borrowers.This paper also constructs the econometric model of the default probability of net loan transaction for borrowers.Based on elaborating the research background and significance,the paper states the definition of P2 P Online Lending and credit risk.Based on asymmetric information and credit rationing theory,it especially focuses on the domestic and foreign research on the influencing factors of P2 P Online Lending borrowers' credit risk.Also,the current situation of P2 P Online Lending borrowers' credit risk is analyzed from two aspects: the development status of P2 P Online Lending platform,the current situation of P2 P Online Lending borrowers' credit risk.Then,according to the descriptive analysis of the collected data,it preliminarily deduces the influence on the credit risk by the borrowers' basic characteristics,repayment ability,loan characteristics,historical information and authentication information,using the methods of principal component analysis and Logistic regression.The empirical results show that,first,the borrower's credit risk is negatively correlated to the borrower's age,education and credit rating,while women and married borrowers has a smaller credit risk compared to men and unmarried borrowers;second,based on the analysis of the repayment ability,the borrower with a higher income in a more developed city has a lower credit risk.The borrower from a larger company,a longer working experience with the ownership of real estate and cars,has a greater credit risk;third,from the aspect of borrower's historical information,the loan application,the success of loans and the loan items were positively correlated borrower's credit risk;fourth,according to the characteristic analysis,the total target,the repayment period were negatively correlated to the borrower's credit risk while the annual interest rate was positively correlated;fifth,from the aspects of authenticationinformation,the borrower's credit risk can be lowered by the authentication of the credit report,the identity information,the work information and the income information.At the end of the paper,based on the summary of the research results,we put forward advices on the effective prevention of P2 P network borrowers' credit risk from investors and net loan platforms.The evaluation model of estimation the credit risk of borrowers,not only can effectively explain the effects of borrowing relevant information on the credit risk,but also can predict the probability of default loan.It has a very important practical significance on investors identifying,preventing and resolving the credit risk.What's more,it helps to improve the borrower's credit evaluation mechanism of network lending platforms,and ensure the quality of loans to promote the P2 P network lending industry's continuous healthy and normative development.