Study On The Effect Of Borrowers’ Information To Lending Loan On Online Lending

In recent years,as to the rapid development of information technology,a new type of lending practices relying on network-P2P online lending began to appear in people’s vision.Internet-based P2P online lending network is an important mode of Internet Finance.It has provided an important corporate finance channel for small and micro enterprises and individual entrepreneurs.It also could be the important driving force for the highly public innovation.But as a new kind of Internet financial mode,related research is very scarce.The current research on P2P financing mainly focused on easily quantifiable "hard information" such as the borrower’s income,credit rating,while the research of the impact on hardly quantify information such as the appearance of borrower to investment behavior is rare involved.As the important factors that affect individual decisions,text,images and other non-quantitative information may also have an important impact on investment behavior;especially influence discriminatory behavior of investors.This article reviews the former research from their predecessors and combines actual PPDai online lending.I studied the impact of personal characteristics of the loan and on this basis to verify the gender and appearance discrimination of the investors,and to reveal the investors’ behavior further in the P2P online lending market.Firstly,as the content of the borrower’s image is qualitative,this paper uses the coding table method of content analysis to encode the borrower’s image.And I take preliminary analysis one the data of PPDai.Secondly,In order to study the effects of the personal characteristics of loan and to verify the lenders behavior of discrimination,this paper has constructed hierarchical regression models of success rate loan,loan interest rates,loan delinquencies and adjusting effects.Then use the four hierarchical regression model to analyze the data of PPDai and also test robustness of the results.The main results of this paper are that:(1)The borrower’s credit rating,friends have important influence on effect of performance and repayment on the loan.The higher the credit rating,the more friends,then the loan has higher success rate,and lower borrowing rates and default rates.(2)the borrowers who has the image has a higher success rate of the loan and a lower default rate of the loan.(3)Lenders have the behavior of "gender discrimination" and "appearance discrimination" in their investment decisions.And such discrimination belongs to the"costly taste-based discrimination ",is a non-rational behavior.Finally,according to the findings of this paper,I give the appropriate recommendations to the borrower,the lender and the P2P online lending platform in order to improve the efficiency of lending,and promote the healty development of online lending market.