Applications of Deep Learning in Unified Credit Management of Commercial Banks

2020 ◽  
Author(s):  
Yang Wang ◽  
Zhen-Dong Li ◽  
Xia-Qing Xi
Keyword(s):  
Deep Learning ◽  
Commercial Banks ◽  
Credit Management

scholarly journals Credit Management and Issues of Bad Debts: An Empirical Study of Listed Deposit Banks in Nigeria

2020 ◽  
pp. 32-49
Author(s):  
Peter E. Ayunku ◽  
Akwarandu Uzochukwu
Keyword(s):  
Risk Management ◽  
Credit Risk ◽  
Commercial Banks ◽  
Random Effect ◽  
Credit Risk Management ◽  
Loan Loss ◽  
Data Set ◽  
Credit Management ◽  
Loan Loss Provision ◽  
The Impact

This study examines the impact of credit management on firm performance amidst bad debts, among Nigerian deposit banks. Five hypotheses were formulated following the dependent variables of Return on Asset and Tobin Q. The independent variables employed for this study include: Loan Loss Provision, Loan to Deposit Ratio, Equity to Asset Ratio, and Loan Write off. This study is based on ex-post facto research design and employed a panel data set collected from fourteen (14) commercial banks over six years ranging from 2014 to 2019 financial year. We analyzed the data set using descriptive statistics, correlation and Ordinary Least Square Regression Technique. The random effect models established that non-performing loan, loan loss provision and equity to asset impact significantly on banks’ performance in both Return on Asset and Tobin-Q models. This suggests that the sampled banks need to establish efficient arrangements to deal with credit risk management. In all, credit risk management indicators considered in this research are important variables in explaining the profitability of Nigerian commercial banks. However, based on the outcome from the empirical analysis, the study carefully recommends that investors and shareholders in these banks should be aware of the possible use of provisions for losses on non-performing loans by managers for smoothening of profits. The shareholders specifically should be ready to meet optimal agency costs to reduce the manager's information asymmetry by hiring competent internal and external auditors.

scholarly journals Credit Management Practices and Loan Performance: Empirical Evidence from Commercial Banks in Kenya

2020 ◽  
Vol 2 (1) ◽  
pp. 51-63
Author(s):  
Irene Muthoni Mburu ◽  
Lucy Wamugo Mwangi ◽  
Stephen M.A Muathe
Keyword(s):  
Commercial Banks ◽  
Management Practices ◽  
Banking Sector ◽  
Banking System ◽  
Secondary Data ◽  
Bank Loan ◽  
Primary Data ◽  
Credit Management ◽  
Lending Policy ◽  
Debt Collection

Commercial banks in Kenya as per the World Bank report were recording higher non-performance in loans over the study period than the standard globally in spite of Kenya having the most stable and developed banking system in East and Central Africa region. Commercial banks non-performing loans for five years from 2015 to 2018 averaged eleven percent which was higher than the recommended rate of one percent. In Kenya, commercial banks’ non-performing loans remain higher than the recommended rate which could be due to inadequate credit management practices. The study therefore aimed at examining the effect of credit management practices on loan performance of commercial banks in Kenya. Specifically, the study sought to establish the effect of debt collection policy, client appraisal and lending policy on the loan performance of commercial banks in Kenya. The underpinning theory of the study was the 5Cs model for credit. The study used explanatory research design and the research philosophy adopted was positivism. The target population was 44 commercial banks in Kenya and a census approach was used. Both primary and secondary data were used. Primary data was collected through structured questionnaires and related to credit management practices while secondary data was obtained from review of existing bank loan records in relation to loan amount advanced and non-performing loans for a period of four years from 2015-2018. The data collected was analyzed using both descriptive and inferential statistics with the help of SPSS version 22. The study found out that debt collection policy and lending policy had a positive significant effect on loan performance of commercial banks in Kenya. However, client appraisal had no significant effect on loan performance of commercial banks in Kenya. Therefore, the study concluded that commercial banks’ loan performance could be largely attributed to the efficiency of the credit management practices put in place at the institutions. The study recommended that commercial banks to regularly evaluate and update practices relating to debt collection policy, client appraisal and lending policy that are capable of ensuring that credit risks are identified and recorded from departmental level to the institution at large. This is vital in light of technological innovations in the banking sector like mobile lending that may limit commercial banks’ ability to evaluate and manage credit using traditional methods.

scholarly journals EFFECTIVENESS OF CREDIT MANAGEMENT SYSTEM ON LOAN PERFORMANCE OF COMMERCIAL BANKS IN KENYA

2017 ◽  
Vol 2 (1) ◽  
pp. 106
Author(s):  
Michael Njeru ◽  
Dr Shano Mohhamed ◽  
Mr. A Wachira
Keyword(s):  
Interest Rates ◽  
Commercial Banks ◽  
Management System ◽  
Target Population ◽  
Small Data ◽  
Chi Square ◽  
Loan Repayment ◽  
Credit Management ◽  
Degree Of Association ◽  
Self Administered Questionnaire

Purpose: the purpose of this study was to analyze effectiveness of credit management system on loan performance of commercial banks in Kenya.Methodology:Descriptive research design was used. The population comprised of 86 respondents. That is, one credit manager and one credit officer from one branch of each of the 43 commercial banks registered with central bank of Kenya as at this year. A census study was conducted since the target population was small. Data was collected using a self-administered questionnaire through drop and pick later method. The questionnaire was both open and closed ended. Test retest method was used to ensure reliability while piloting was used to check the validly of the research instrument .data was analyzed using to frequencies, percentages and means. Correlation was used to compute the degree of association between variable. The hypothesis was tested using chi square. Data was thereafter presented using table and pie charts. Results:The study established that credit terms has an effect on performance, just like credit appraisal was equally found to be very important in influencing performance of commercial banks. Similarly, a stringent policy was found to have a far greater influence to performance than a libel policy Policy recommendation: It was then recommended the character of the borrower, the current capacity and collateral attached should carry a lot of weight in the appraisal. In addition, credit officer and client should be involved in formulation of credit terms and interest rates on loans reduced since these have an effect on loan repayment hence performance of commercial banks. 

Research on the Credit Management of Commercial Banks of Lianyungang City for the SMEs

2013 ◽  
Vol 380-384 ◽  
pp. 4595-4599
Author(s):  
Jun Yi Chen ◽  
Shu Ping Han
Keyword(s):  
Commercial Bank ◽  
Commercial Banks ◽  
Management Plan ◽  
Local Economy ◽  
Adverse Impact ◽  
Credit Policy ◽  
Capital Operation ◽  
Credit Management ◽  
Whole Process ◽  
Credit Demand

At present, the credit management mode of commercial bank in lianyungang for the SMEs is still in the exploring, although the various credit policy for the small and medium-sized enterprises has been come out, the risk management plan and operation method that really suit for credit demand for the SMEs is still not mature. and it caused that the bad debts and dead loan were overstoched in lianyungang commercial bank, thus it seriously impact on the capital operation of commercial banks, and then it has caused some adverse impact to the development of local economy. Therefore, it is necessary for commercial banks in lianyungang city to supervise and manage the whole process of credit of the small and medium-sized enterprises.

scholarly journals Impact of Efficient Credit Management on Profitability of Commercial Banks in Sierra Leone

2018 ◽  
Vol 06 (01) ◽  
pp. 139-150
Author(s):  
Daniel B. Kaitibi ◽  
Ezekiel T. J. Ganawah ◽  
Musa A. Yokie ◽  
Muneer Jalloh ◽  
Bashiru M. Koroma
Keyword(s):  
Sierra Leone ◽  
Commercial Banks ◽  
Credit Management
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