The Study Of The Credit Assessment Method For Personal Mortgage Loan Of BEA Dalian Branch

Because of its character of high return and low risk, personal mortgage loan has been the important part of the bank's loan portfolio. Banks prefer to maintain such loan asset. But, low risk does not mean no risk exists, default case also can be found under personal mortgage loan accounts. Since such default case means high realization cost for the charged property, more manpower and more work time for the following up actions, it is important for risk control and management purpose to find a suitable credit assessment method in loan application step.The focus of this paper is the credit assessment method in loan application step. This paper is formed by 4 chapters. The first chapter shows the importance of the credit assessment against the whole credit flow. The second chapter introduces the current credit status of personal mortgage loan in BEA Dalian Branch. The third chapter analyses the advantages and the disadvantages of the current credit assessment methods. The last chapter tries to give a solution for the defect found in chapter 3, i.e. to introduce a credit scoring system and amend the current credit scoring form according to the actual status in BEA Dalian Branch to make it more operable. Then, one sample is displayed to show the usage of the new method that embodies the superiority and the usability of the new method. At last, the analysis result proves that the new method can greatly increase the accuracy and efficiency of credit assessment.There are two innovations in this paper:(1) Introducing credit scoring system which can increase the accuracy and efficiency of credit assessment.(2) Amending the current credit scoring form to make it more suitable for the actual status of BEA Dalian Branch and more operable.