Title: Rationality of the personal loan interest-rate markups of banks
銀行對個人貸款加碼利率合理性之研究
Authors: Ming-Chang Wang
Sung-Shan Chen
Jen-Min Chiang
Keywords: Credit scoring model;;Credit quality;;Credit risk;;Interest-rate markups
Issue Date: 1-Jun-2017
Publisher: 交通大學
National Chiao Tung University
Abstract: This study provides a model of banks' personal loan interest-rate markups by analyzing their expected profit maximization. Employing 804 personal loan cases from one Taiwanese bank, our empirical findings show that this model is able to identify the personal loan interest cut-off rates for each risk segment for bank profit maximization in order to determine personal loan interest-rate markups in a more accurate and rational manner. The interest-rate markups identified by this model can serve as a reference for banks' projections regarding optimal interest-rate markups for personal loans.
URI: http://hdl.handle.net/11536/137156
ISSN: 1028-7325
Journal: 交大管理學報
Chiao Da Mangement Review
Volume: 37
Issue: 1
Begin Page: 115
End Page: 163
Appears in Collections:Chiao Da Mangement Review


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  1. 1028-7310-370104.pdf