An Empirical Study On The Influencing Factors Of The Pricing Of Illegal Fines In Bank Loans

With the continuous development and deepening of China's banking industry,strict supervision and risk prevention have become an important trend of China's banking supervision.Bank loan business is an important indirect financing means to achieve the effective allocation of resources and also a necessary condition to ensure economic development.Once the bank institution loan business occurs illegal behaviors,it will inevitably accumulate the risk,even causes the huge loss.At the same time,the illegal behaviors of bank loan business have a strong negative external effect.In addition to the huge impact on the bank involved,it is likely to lead to the loss of trust in the banking system and adverse selection,further threatening the stability of the banking system and the healthy development of the economy.In recent years,China's bank loan business violations occur from time to time,and its chaos abounds,the bank risk control task is increasingly difficult.In 2017,China's banking and insurance regulatory commission issued a total of 3,452 fines,including 1,060 for illegal bank loans.From the perspective of the punishment form,the penalty is the main punishment means,but there is no detailed explanation on how to determine the penalty price.China's banking and insurance regulatory commission still has great discretion in the pricing of illegal and illegal fines in loan business.In this background,this paper collects bank lending illegal tickets in 2017,deals with the related data,and through the empirical analysis to study the fine between pricing and its related influencing factors of law,how to effectively determine the price of bank loan business illegal fines by the corresponding policies and Suggestions are put forward.Firstly,this paper explains the research background,research purpose,research significance,research methods,research content and other frameworks.Then,this paper combs and elaborates relevant literature from four aspects,namely,the basic theory of punishment for violation of laws and regulations,influencing factors of violation of laws and regulations,punishment effect of violation of laws and regulations,determination of price of penalty for violation of laws and regulations,and the discretionary power of regulators in penalty pricing.Then,this paper describes the economic theories of Mitchell Polinsky and Steven Shavell(1999)on public law enforcement to some extent.In addition,starting from Becker's(1968)model of punishment for general violations of laws and regulations,this paper reconstructs the model in combination with the characteristics of bank loan business violations of laws and regulations,laying a theoretical foundation for the empirical part of this paper.Based on the punishment data of China banking and insurance regulatory commission(circ)on violation of laws and regulations in the loan business of banking institutions in 2017,this paper analyzes the relevant factors that influence the circ in determining the penalty pricing.From the perspective of empirical analysis,this paper mainly extracted the influencing factors from three aspects,the importance of banking institutions in the banking system,the severity of illegal and illegal cases and the different stages of "three checks" of loan cases.Through regression analysis,this paper mainly draws the following three conclusions.Firstly,the more important a bank institution is in the banking system,the higher the penalty for illegal behaviors of loan business will be.Secondly,the more serious the illegal and irregular behaviors of bank loan business are,the higher the penalty will be.Thirdly,the penalty for violating the "three checks" system of loans is higher,and the penalty for violation of laws and regulations during the loan examination and post-loan examination is higher than pre-loan review.Finally,the article further summarizes the influencing factors of the CIRC's determination of the penalty price for illegal and irregular bank loans,and puts forward some suggestions on how to determine a clear and fair penalty pricing system.At the same time,this paper summarizes shortcomings of the study,and makes some prospects about the future research.