Research On Credit Risk Factors Of Small Loans In Urban Commercial Banks Based On Loan Process

Microfinance originated in Bangladesh and was formally established in China in 2005.Because of the small amount of loans,the market is welcome.However,as the continuous development of the banking industry,small loans have also encountered more and more bottlenecks,such as asymmetric customer information,low awareness,high risk of default,high cost,monotonous operation mode,lack of reasonable scale,lack of legal system and so on.High credit risk has seriously hampered the healthy development of small loans.Therefore,studying the credit risk of small loans and reducing the default rate have become the focus of attention in the theoretical and business circles.This paper focuses on the factors influencing the credit risk of small loans in urban commercial banks,and integrates the theories of Inclusive Finance Theory,relational lending theory,soft information theory and rent-seeking theory.Based on the loan process(before loan,during loan,after loan),the theoretical model and research hypotheses of the credit risk factors of small businesses in city commercial banks are put forward.On this basis,the actual loan data of BJ bank are collected,and the model of the three stages before loan,during loan and after loan is empirically analyzed by Logistic regression model,and the feasibility of the model is verified.In this paper,the author puts forward the characteristic countermeasure of the whole loan process and the different process of the loan before,during and after the loan.In this paper,we study not only for BJ bank provide practice guidance significance for the development of small loans,as well as similar to commercial Banks to reduce small loan default rate,promote the healthy development of small loans to provide practical reference.