Delinquency Rates Research Articles

To Share or Not? Hybrid e‐Commerce Platform's Provision and Sharing Strategies of Consumer Credit Service

ABSTRACTAs a new financial innovation, consumer credit services are increasingly embraced by e‐commerce platforms. This paper presents a stylized model to determine when an e‐commerce platform should launch credit services and whether to share them with third‐party sellers. Our findings indicate that the platform benefits from launching credit services only when consumer preference outweighs the delinquency rate. Furthermore, service sharing can create a win‐win scenario with moderate fees and high consumer preference. Contrary to common belief, sharing services with sellers can reduce consumer surplus, suggesting that widespread use of consumer credit services is not necessarily beneficial for consumers.

Relationship of Tetrad Dark Personality Traits and Delinquent Behavior among Adolescents: Moderating Role of Social Support

The current research studies the relationship between Dark Tetrad personality dimensions: Machiavellianism, narcissism, psychopathy, sadism, and delinquency in adolescence while considering the role of social support as the moderator. For this study the cross-sectional research design was used and the sample included 300 adolescents comprising 150 males and 150 females in the age group of 10 to 19 years randomly selected from twin cities of Islamabad and Rawalpindi. The data were collected using the Short Dark Tetrad (SD4) self-reported delinquency – Problem Behavior Frequency Scale and Child and Adolescent Social Support Scale (CASSS). The analyses conducted found positive and significant correlations between the dark personality traits and the delinquent behaviors with each of the dark personality traits being positively correlated with the manifests of delinquent behaviour. Furthermore, the study revealed that social support acted as a moderator that could help decrease the delinquency rate among the adolescents who possess a high level of dark personality traits. These imply that dark personality facets and insufficient social support should be targeted to reduce delinquency among adolescents. The results imply that any prevention or treatment programs targeted at decreasing delinquency must take into account the presence of dark personality features in adolescents, especially through modulating the perceived usefulness of social support. The insights from the research can be quite useful for schools, families, and community-oriented programs to design effective interventions not only to address behavior management but also to address the potentially detrimental effects associated with these personality traits.

The Vasicek distribution autoregressive time-series model for aggregated data of default and delinquency rates

Abstract Is it possible to analyse time series of aggregated data of default and delinquency rates with a simple model that includes both cross-sectional and serial dependence? To address this question, this paper proposes an autoregressive time-series model for Vasicek-distributed random variables. A direct result from the proposed model is that it leads to a novel out-of-time validation test for aggregated default and delinquency rates. The motivation for the model comes from an analysis of a time series of aggregated US credit card delinquencies, for which the Poisson or binomial distribution cannot be used. The proposed model can also be employed to analyse a time series of the average default probability of a portfolio.

Does social capital positively influence loan performance even during a crisis?

Theoretically, it is unclear whether group loans outperform individual loans in terms of delinquency, especially during a crisis. It is difficult to test the hypothesis due to differences in the types of borrowers of the group and individual loans and likely differences in their behavior between crises and normal times. We overcome the challenge by comparing simultaneous group and individual loans of the same individual before and during the Covid-19 crisis in India. We find that the delinquency rate of group loans is significantly lower. Further tests suggestively indicate that the outperformance is due to the “peer pressure” channel.

The effect of bipolar effective disorder and low socio-economic status on juvenile delinquents in Pakistan

Bipolar disorder remains a significant taboo in Pakistan, particularly among juvenile delinquents, leading to their social segregation. The prevalence of this mood disorder in Pakistani youth is concerning, largely due to limited awareness and inadequate mental health resources for children and adolescents. Economic instability, family conflict, and lack of access to care contribute to chronic stress, delaying the diagnosis and treatment of bipolar disorder. This study aimed to explore the relationship between socio-economic status and bipolar disorder in juvenile offenders, focusing on the role of social support. We included 220 children, aged 12 to 18, diagnosed with severe bipolar disorder. Most lived with both biological parents, while some were in single-parent households due to separation or loss. Our findings indicated that low socio-economic status significantly impacts mental health and personality development. Factors such as financial instability, inadequate housing, and lack of access to quality healthcare increase feelings of inferiority, leading to higher rates of bipolar disorder. Notably, 88.4% of participants exhibited extreme symptoms, with a higher prevalence in males (55%) than females (29%). The delinquency rate was significant, with 56% of boys and 32% of girls involved in criminal activities. These results suggest a strong correlation between low socio-economic status and the severity of bipolar disorder in juvenile delinquents. Many young individuals resort to crime due to unmet basic needs, reinforcing the idea that socio-economic challenges directly influence mental health outcomes. Overall, these findings underscore the urgent need for improved mental health care and support for vulnerable youth in Pakistan.

The impact of negative school experiences on rates of youth delinquency: accounts of incarcerated young people in Türkiye

ABSTRACT The main purpose of this study is to examine the school experiences of incarcerated Turkish young delinquents and reveal how these negative experiences affected their descent into delinquency. In order to carry out the study, official permission to meet with 10 young delinquents, currently being held in the Youth Detention Centre in Ankara (capital of Türkiye) and convicted of various crimes, has been obtained from the Turkish Ministry of Justice. Interviews have been conducted in three separate sessions. Study findings have revealed that the school experiences of young delinquents have been overwhelmingly negative and that they have started committing crimes while still being enrolled in school. Additionally, it has been found that they defied school rules and maintained social connections with individuals engaged in unlawful activities.

Putting Automobile Debt on the Map: Race and the Geography of Automobile Debt in California

Most U.S. metropolitan areas developed alongside the automobile, producing neighborhoods of relatively low density. Consequently, access to opportunities in these neighborhoods is predicated on having an automobile, yet many households do not have the resources to purchase one outright, relying on automobile loans to spread out the purchase price. While automobile loans can enable automobile ownership, they also significantly increase the vehicle purchase price, particularly for non-white consumers subject to discriminatory lending practices.In this study, we rely on data from the University of California Consumer Credit Panel from Experian to examine the determinants and geography of automobile debt and its consequences in California, testing whether various automobile debt measures disproportionately affect non-white neighborhoods.We find that, controlling for other factors associated with automobile lending including income, Black and Latino/a neighborhoods have higher total automobile debt, debt burdens (debt relative to income), and automobile loan delinquency rates. In particular, Latino/a neighborhoods shoulder significant automobile debt, while borrowers in Black neighborhoods have the highest delinquency rates. Factors associated with lower total automobile debt and automobile debt burden include better credit ratings, higher residential densities, urban locations, and proximity to rail stations.The findings underscore the importance of policies to offset the costs of automobile ownership and access. As part of this, policymakers should adopt and enforce fair lending rules to combat discriminatory and predatory practices and facilitate access to high-quality financial institutions and products in communities of color.

Rising Auto Loan Delinquencies and High Monthly Payments

Delinquency rates on auto loans rose substantially to above pre-pandemic levels by the end of 2023, after falling to historical lows during the COVID-19 pandemic. Because auto loans are an important sector in consumer credit, accounting for about 25 percent of nonmortgage consumer credit, a deeper analysis of the increase in delinquencies can give insights into the financial health of borrowers in consumer credit markets and overall household financial well-being.

Prevention, resolution, or counseling: Testing three approaches to reducing debt payment delinquencies in a large‐scale field experiment

AbstractIn this study, we partnered with a large credit union to conduct a 10‐arm field experiment aimed at reducing delinquent payments on installment debts. This experiment tested common behavioral interventions such as payment reminders against more novel approaches such as magnet reminders and savings accounts that automated emergency savings. It also tested the impact of offering financial counseling services. Our findings indicate that the email reminders—which emphasized resolving current delinquencies in some treatments and preventing future delinquencies in others—were effective at reducing moderate and severe payment delinquency rates. Other, more intensive treatments, which required participants to enroll in a new account or financial counseling, likely did not have an impact due to low takeup rates. We also find limited evidence that certain interventions were more effective for individuals with higher credit risk.

Macroprudential policy effectiveness and interaction with monetary policy: Lessons from debt service-to-income cap implementation in Kazakhstan

We take advantage of the early adoption of the debt-service-to-income cap (DSTI) measure in Kazakhstan, as well as available granular information from the local credit registry to study the effects of macroprudential instruments on core financial stability parameters. Our results show that implementation of a DSTI cap of 50 % leads to around a 9 % decrease in 12 months in the amount of outstanding debt on average for the range of credits originated just around the introduction of the DSTI cap. We find that DSTI cap implementation decreased the probability of delinquency rates of loans by about 20 % in 12 months on average compared to credits granted before the realization of the DSTI cap. We provide evidence on the importance of loan size heterogeneity across time when estimating the impact of macro-prudential intervention, which is partly overlooked in the existing literature. Finally, our results suggest that macroprudential and monetary policy tools can be complementary depending on the specific business cycle developments.

Value drivers for management and value generation: Financial analysis in a Higher Education Institution

Objective. To describe, from a value management perspective, the impact of applying operational value drivers and microvalue drivers in a Private Higher Education Institution located in Medellín, Colombia. Methodology. This is qualitative research framed as a descriptive case study. It employs three stages to identify, determine, and propose value drivers for generating and managing value within the institution. Tools used for data collection included: (i) A reporting table to determine institutional microvalue drivers; (ii) financial statements from the last three years, and (iii) a report and recommendation for implementing value drivers within the organization. Results. The results showed it does not effectively build value despite the Private Higher Education Institution generating surpluses. Moreover, the institution’s performance analysis reveals that operational and non-operational expenses have grown at rates that overshadow revenue growth. Conclusions. The study concludes that while the institution is profitable, it struggles with value creation due to onerous asset costs relative to net surpluses. The findings indicate potential medium to long-term liquidity issues due to inefficient working capital management and increased delinquency rates, suggesting that profitability and liquidity drivers are not optimally managed.

Big data, green loans and energy efficiency

Green digital finance is an instrumental way to promote technological innovation, accelerate the low-carbon transition, and foster sustainable development. With the emergence of green digital finance, how does it affect firms’ energy use efficiency? Using big data and green loans as an entry point, the impact of green digital finance on corporate energy efficiency and the role of big data are examined. We provided a simple theoretical model to analyze the green loaning behavior of the banking sector after applying big data and its impact on corporate energy efficiency. Our research finds that: (1) The application of big data can make it easier for the banking sector to obtain loan companies’ information and reduce loan delinquency rates. This will reduce the information and transaction costs of the banking sector and expand the scale of optimal green loans. (2) The optimal green loan scale has a negative relationship with the optimal green loan interest rate. (3) The application of green loans by firms can improve energy efficiency and have a range of impacts on firms’ decision-making, including an increase in the emission reduction ratio, innovation probability, output, and profit, followed by a decrease in energy consumption and pollution emissions. This paper further clarifies the channels through which green digital finance affects energy efficiency and specifies the role of big data in green digital finance. This could help relevant policymakers design more effective green digital finance policies, contributing to carbon peaking and carbon neutrality goals.

Payday alternative loans: PAL or Foe?

Payday alternative loans (PALs) are small, short-term loans granted by federal credit unions. This paper examines the history of these loans, characteristics of credit unions that grant PALs, and how these loans impact credit risk. Credit unions with a low-income designation offer PALs and make a higher amount and number of PALs in terms of the loan portfolio. Credit unions that offer PALs have lower loan delinquency rates and do not have more one-year forward-looking credit risk. The findings contribute to the broader literature on payday loan alternatives and credit union risk taking.

PENDIDIKAN KESEHATAN TENTANG PERILAKU MENYIMPANG PADA KADER REMAJA

The increasing rate of juvenile delinquency is very worrying for many parties. Both related to mass fights, drugs, premarital sexual relations, drinking and so on. Even though various efforts have been made, until now the incidence rate is still difficult to reduce. The forum for activities provided to teenagers, such as the Youth Posyandu, the formation of youth cadres is still not running optimally. The aim of this community service is to optimize the knowledge of juvenile cadres through health promotion and discussions on juvenile delinquency. The method used through interactive discussions about juvenile delinquency (deviant behavior). The results of this community service activity are that the knowledge of teenage after health education and interactive discussions is mostly very good. Adolescent health education activities are felt by youth cadres to be very beneficial, the cadres really want this activity not to stop here, but to continue

Ethical Empowerment: Integrating Malay Local Wisdom with VCT to Fortify Students' Moral Character in History Learning

As juvenile delinquency rates rise in Indonesia, addressing the underlying moral degradation among adolescents becomes crucial. This study investigates the integration of Tanjak Melayu's local wisdom with Value Clarification Technique (VCT) in history education as a strategy for moral character enhancement in students. Using a qualitative ethnographic approach, data was collected through observation, interviews, document reviews, and validity tests, with data analysis performed via triangulation. The study identifies key values of Tanjak Melayu—dignity, politeness, and attractiveness—that can be effectively incorporated into history lessons using VCT. This integration shows a positive impact on student's moral character, providing not only knowledge but also facilitating practical learning tasks. The incorporation of Tanjak Melayu values into educational settings via VCT not only preserves cultural heritage but also actively promotes moral virtues among students. The findings suggest that VCT can be a dynamic tool in moral education, enhancing student engagement and ethical development. This study underscores the potential of culturally integrated education technologies in addressing adolescent behavioral issues. By embedding local cultural values into the curriculum, educational institutions can play a pivotal role in shaping the moral landscape of the next generation. This approach offers a scalable model for similar interventions across diverse educational contexts, aiming to curb juvenile delinquency through enhanced character education. The successful integration of Tanjak Melayu values into history education via VCT demonstrates a viable path towards improving the moral character of students, suggesting that similar cultural and technological adaptations in educational curricula could be beneficial on a broader scale.

The Role of Family Structure in Juvenile Delinquency

Purpose: The general purpose of the study was to explore the role of family structure and juvenile diplomacy. Methodology: The study adopted a desktop research methodology. Desk research refers to secondary data or that which can be collected without fieldwork. Desk research is basically involved in collecting data from existing resources hence it is often considered a low cost technique as compared to field research, as the main cost is involved in executive’s time, telephone charges and directories. Thus, the study relied on already published studies, reports and statistics. This secondary data was easily accessed through the online journals and library. Findings: The findings reveal that there exists a contextual and methodological gap relating to family structure in juvenile diplomacy. Preliminary empirical review revealed that that family structure significantly influences adolescent engagement in delinquent behaviors, with adolescents from single-parent households or non-traditional family arrangements exhibiting higher rates of delinquency. Research highlighted the mediating role of factors such as parental supervision and positive peer relationships, along with cultural variations in this relationship. Qualitative insights underscored the unique challenges faced by adolescents from non-traditional family structures, emphasizing the importance of tailored support. Overall, the findings underscored the need for context-specific interventions and policies to address juvenile delinquency, informed by a comprehensive understanding of family dynamics and socio-cultural factors. Unique Contribution to Theory, Practice and Policy: Social Learning theory, Strain theory and Social Control theory may be used to anchor future studies on the role of family structure in juvenile delinquency. The study provided recommendations with significant contributions to theory, practice, and policy. It advanced theoretical understanding by highlighting the complex interplay between family dynamics and delinquent behavior, contributing empirical support for existing theoretical models. The study recommended the development of family-centered interventions to strengthen parental supervision and support networks, promote positive peer relationships, and address systemic factors contributing to family stressors. Policy implications included initiatives to support family well-being, invest in evidence-based programs, and integrate findings into broader social policies. Collaboration across sectors was emphasized to implement comprehensive approaches, and the need for continued research to deepen understanding and inform targeted interventions was underscored.

Examining Behavioral Variations in Disadvantaged Adolescents: A Cross-Racial Study of African, Latinx, and Asian American Adolescents

This study explored racial differences in internalizing and externalizing problems among minority adolescents in impoverished urban communities. The study centered on a sample of 211 participants who were engaged in the 2018 Building Resilience Against Violence Engagement (BRAVE) programs. Their internalizing and externalizing problems were assessed using Youth Self-Report (YSR). The results of a one-way between-subjects Analysis of Variance (ANOVA) uncovered substantial racial disparities, with African American adolescents reporting a higher prevalence of externalizing problems compared to Asian adolescents. Additionally, Latinx adolescents exhibited the highest prevalence of delinquency rate at the p < .05 level. These findings underscore the strong connection between racial groups and youth problems, emphasizing the importance of considering racial factors in the context of service provision for minority adolescents.

Sociodemographic and Clinical Characteristics of Delinquent Children and Factors Associated with Recidivism

Introduction: Many studies have shown that the prevalence and rate of delinquency in adolescents tends to increase during adolescence and decreases rapidly from the 20s to the early 30s. Juvenile delinquency is considered as a serious social problem because it is often occurs at a young age, is repeated and is often committed as a group. In this study, we aimed to investigate the demographic and clinical characteristics of children between the ages of 12 and 18 who engage in delinquent behavior and the factors that contribute to recidivism. Methods: Children between the ages of 12 and 18 who were referred by the judicial authorities for alleged crimes were included in the study. The files of the children were reviewed retrospectively. Age, gender, psychiatric diagnoses, types of crimes, intelligence levels, family history of crime, number of crimes were evaluated and the factors associated with recidivism behaviors were investigated. Results: A total of 91 children referred by the judicial authorities to the outpatient clinic for child and adolescent psychiatry were included in the study. The average age of the children at the time of the offense was 14.10±1.25 years and 87 (95.6%) were boys and 4 (4.4%) were girls. At least one active psychopathology was found in 38 (41.8%) of the cases. The most frequent psychiatric disorders among the psychopathologies during the study were attention deficit hyperactivity disorder in 19 (50.0%) children and conduct disorder in 17 (44.7%) children. The presence of a family criminal history (p=0.024), school attendance (p

Reshaping the corporate landscape: Navigating changes in real estate strategies

The changing corporate landscape, influenced by global events and shifting workforce dynamics, has led to a new era of workplace adaptation and innovation. The COVID-19 pandemic has catalysed a significant shift towards remote work, with a profound impact on corporate real estate (CRE). As we navigate a post-pandemic world, it is clear that the traditional office model has transformed into a more flexible and multifaceted concept. The rise of remote and hybrid work has prompted businesses to rethink their real estate strategies, resulting in a surge in office vacancies and the need for creative solutions. Companies are at a crossroads of reinventing their physical workspaces and redefining their organisational cultures to address challenges such as rising delinquency rates, employee engagement and well-being. In the current business environment, organisations are prioritising the alignment of their future of work strategies with their mission and vision. They are taking advantage of their unutilised office spaces to reduce expenses, enhance the employee experience, promote sustainability and facilitate hybrid work arrangements. This transformation, however, necessitates a re-evaluation and optimisation of their real estate utilisation and functionality to cater to the needs of their ever-changing workforce. To accomplish this, corporate real estate professionals are looking for ways to adopt crucial strategies that foster efficiency and effectiveness in the workplace. This paper delves into these strategies and provides valuable insights into their successful implementation.

Diffusion Model을 활용한 신용 예측 데이터 불균형 해결 기법

In this paper, a Diffusion Multi-step Classifier (DMC) is proposed to address the imbalance issue in credit prediction. DMC utilizes a Diffusion Model to generate continuous numerical data from credit prediction data and creates categorical data through a Multi-step Classifier. Compared to other algorithms generating synthetic data, DMC produces data with a distribution more similar to real data. Using DMC, data that closely resemble actual data can be generated, outperforming other algorithms for data generation. When experiments were conducted using the generated data, the probability of predicting delinquencies increased by over 20%, and overall predictive accuracy improved by approximately 4%. These research findings are anticipated to significantly contribute to reducing delinquency rates and increasing profits when applied in actual financial institutions.