Loan Companies Research Articles

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.

ANALYSIS OF RELATIONSHIP BETWEEN THE USAGE OF ONLINE LOAN SERVICES AND THE WELL-BEING OF INDONESIAN USING CHI-SQUARE TEST

Online fintech lending offers convenience by providing flexibility for both lenders and borrowers. It led to a significant increase in users. Despite this encouraging growth, it comes with risks, such as the emergence of illegal loan companies. The controversial positive and negative aspects of online loans have sparked the researchers' interest in understanding how the Indonesian public perceives the existence of online loans and whether there is a relationship between the use of online loans and the well-being of users. The data were collected through the questionnaire using Google Form and then distributed to respondents who meet the specified sample criteria, namely Indonesian, aged 17 years old or above, and still able to think rationally. The total study sample are 191 respondents, with the total male is 90 and the total female is 101. Since the results of the data gathered were in the form of categorical data, so the Chi-square test is utilized in this study. With the calculated chi-square less than the chi-square table, it showed that there is no correlation between the frequency of using online loan services and the well-being of the Indonesian people, whether based on age, level of education, or type of job. Hence, it can be concluded that the usage of online loan services is not influences the well-being of Indonesian. It is also known that public perceptions of online loans vary and cannot be generalized. However, those less prosperous, tend to agree with and appreciate the online loan services’ existence compared to those who are prosperous.

Kredyty hipoteczne o stałej oraz okresowo stałej stopie procentowej – ocena dotychczasowej polityki regulacyjnej oraz rekomendacje dla niej

Purpose – The purpose of this paper is to identify the channels of impact of the growing volume of fixed‑rate or periodically fixed‑rate mortgages on stability of the banking sector, which may be threatened by the materialisation of credit and legal risks associated with the mortgage loan portfolio and to formulate recommendations for regulatory policy for banks offering mortgages. Research method – The method used was that of analysing statistical data and inferring from it, a critical analysis of the literature on the subject and a positive economic analysis of the law. Results – Fixed‑rate and periodically fixed‑rate mortgage lending by banks does not necessarily contribute to stability of the banking sector, and consequently also financial stability. This is because, on the one hand, in an environment of rising interest rates, a portfolio of fixed‑rate mortgages generates lower credit risk, while, on the other hand, prepayments made in an environment of falling interest rates have a negative impact on banks’ performance. On the top of that the offer of periodically fixed‑rate loans raises the risk of a spike in borrowers’ instalments. In relation with that regulatory policy should consider the current and expected level of interest rates, taking into account the type of fixed rate, the total cost of the mortgage over its lifetime and the risk of payment spikes that a borrower using a periodically fixed rate loan may experience. In addition, the regulatory authorities can be expected to harmonise the reporting obligations of loan companies so that banks’ assessment of creditworthiness includes an analysis of all borrowers’ obligations and behavioural aspects arising from an analysis of the track record of relationships with loan firms. Another challenge is the need to harmonise bank standards on the sources of income taken into account in the creditworthiness assessment. It is up to supervisory regulation to determine whether cost‑reducing, more predictable fixed‑rate mortgages will contribute to financial stability. Originality / value / implications / recommendations – The paper provides recommendations for regulatory policy on the offering of fixed or periodically fixed‑rate mortgages by banks, taking into account macroeconomic and idiosyncratic factors. It is the first study aimed at identifying future risks of inadequacy between the fixed‑rate‑based structure of new mortgage lending and expectations of inflation and changes in market interest rates.

Using Semantic Analysis to Investigate Customer Experience Case P2P Lending

The development of online loan companies in Indonesia has brought both positive and negative impacts on society. From 2018 to February 2023, the Financial Services Authority (OJK) has shut down a total of 4,567 illegal online loan platforms. The number of victims involved in illegal online loan cases in Indonesia continues to rise each year. The research aims to conduct semantic analysis to establish clear metrics that can assist online loan customers in choosing the right platform based on their individual needs. The study’s outcome is expected to serve as an alternative source of information for online loan customers when selecting a suitable application. The research employs text mining, specifically semantic analysis using the Wmatrix5 application. Data is gathered through crawling reviews and comments from customers of legal online loan companies available on the Google Playstore. The analysis reveals industry focused aspects of applications and platforms, emphasis on the loan process, efforts to provide convenience and customer satisfaction, and attention to security and trust. Additionally, the analysis exposes negative aspects, including ambiguity in loan limits, the importance of data security, potentially detrimental debt collection practices, and the possibility of hidden fees.

A life in low-cost private education

Two factors – my experience in developing countries coupled with an understanding of the potential role for private education – led to me leading a team that won a grant from the International Finance Corporation to study private education in developing countries. I felt that my life should be concerned with the poor, so was dissatisfied by being an expert in private education, which everyone knew was for the privileged only. My epiphany came in the slums of Hyderabad, India, where I found low-cost private schools serving the poor. I got a grant from the John Templeton Foundation to study the nature and extent of low-cost private education in Africa and Asia. Thus my life’s work in private education began. The work was extremely controversial in the beginning, but I became less of a pariah when in 2005 I won an international private sector development award. Taking four years unpaid leave from academia, I co-created chains and federations of low-cost private schools around the world. Many social entrepreneurs were inspired by my research findings to create loan companies – providing low-cost private schools with much-needed capital – and chains of school – capitalizing on economies of scale to improve low-cost schools even further. Some lessons for young academics are outlined.

Evolutionary Game Analysis of Open Financing Models for Small and Medium-Sized Internet Education Enterprises

The open financing models combine traditional financing and network financing, which plays an important role in alleviating the financing constraints of small and medium-sized education enterprises and is conducive to promoting the growth of small and medium-sized education enterprises. Based on the systematic review of evolutionary game theory, the characteristics of evolutionary game theory and its differences with game theory, this paper first constructs the game process analysis of the open financing mode of small and medium-sized Internet education enterprises, and proposes the stabilization strategies of the participants through the model analysis. On this basis, the financing model is improved by introducing the constraints of individuals, loan companies, government and intermediaries, and the open financing game process is theoretically analyzed and mathematically derived. The conclusions of the study provide an important reference for promoting the open financing model of small and medium-sized Internet education enterprises.

Examining an Information System (IS) Solution to Increase UK University Students’ Engagement during Lecturing Activities

“Knowledge transfer” is achieved through sharing or disseminating knowledge, and providing inputs to problem solving; it is commonly associated with attending a series of classroom lectures and maintaining students’ engagement with the taught subject. This paper examines how a specific radio frequency identification (RFID) based information system (IS) solution could be utilized to help monitor and increase engagement of university students during lecturing activities. This IS solution relies on student attendance as the main method to measure their engagement. Initially, the main stakeholders were identified: students, lecturers, administration team and the Student Loans Company (source of funding). A value proposition canvas was subsequently created, and potential system requirements were identified. A design of the proposed RFID based system was created based on these requirements and then compared with a real-life (already existing) system at Henley Business School. By comparing these two systems, the authors determined related benefits/drawbacks of the proposed system in monitoring student engagement. Potential benefits consisted of allowing all parties to easily capture attendance (with very minimal involvement of the university’s staff) and increased efficiency in analyzing student attendance data. Its main limitation was inaccurately capturing the exact time a student leaves a session. Building a working prototype for detailed evaluation and further fine-tuning/improvements must be part of future work.

Digital Financial Literacy: Peer-To-Peer (P2P) Lending of Microenterprise in Cibuntu Village

The society began to look for information about Fintech Peer-To-Peer (P2P) Lending or online loans that became known to the public after news emerged of the rampant illegal online loan entanglements. Online loans are attached to a negative stigma, on the other hand online loan platforms are needed by the community. In line with the government's goals, the purpose of Community Service (PKM) activities is to increase understanding, insight, digital financial knowledge regarding Fintech P2P Lending for MSME groups in the Cibuntu Bekasi, South Tangerang West Java Indonesia. The material provided includes the development of Fintech P2P Lending in Indonesia. Second, explaining the benefits and risks and how to choose an online loan platform that is registered and licensed at the Financial Services Authority (OJK). Third, provide an explanation of the consequences and legal protection for ordinary people so they don't worry when facing legal problems with illegal online loan companies. Fourth, the existence of the Investment Alert Task Force which was formed by the government in the context of preventing and handling allegations of unlawful acts by illegal online loan companies. The hope of this activity is that the community and MSME actors can choose legal online loan platforms and avoid illegal online loan entanglements.

Empirical Test of Credit Risk Assessment of Microfinance Companies Based on BP Neural Network

In recent years, the chaos of internet finance has occurred frequently, especially P2P, with high risks. As a kind of financial innovation, small loan companies are challenging to avoid alone, and the issue of credit risk is also highly valued. This study selects the loan records of a small loan company (a daily loan record from September 1, 2016 to July 1, 2021 has seven indicators, each of which has 21299 data). It uses MATLAB programming to test the correctness of risk indicator selection and the accuracy of BP neural network classification and identification results. This study obtains the corresponding risk value. According to the corresponding risk value, the newly applied loans are classified, that is, rated, to verify the effectiveness and applicability of this method. Therefore, BP neural network has strong applicability, generalization ability, and portability and is an effective method for small loan companies to guide credit risk assessment.

Behind the curtain of payday lending: revealing consumer insights and ethical challenges in Indonesia and the USA using web-scraping methods

PurposeThis paper aims to explore the consumer insights and ethical concerns surrounding the online payday loan services available in the Google Play Store. This research was conducted to compare whether the presence or absence of debt collection protection acts in a country creates differences in consumer experiences regarding the ethics of payday loan collection. Specifically, the study compares customers’ experiences in both the Indonesian and US markets.Design/methodology/approachIndonesia and the USA were chosen because they have very different regulatory structures for the payday loan industry. The data was scraped using Python from 27 payday loan apps on the Indonesian Play Store, resulting in a total of 244,697 reviews extracted from the Indonesian market. For the US market, 446,010 reviews were extracted from 14 payday loan apps. The data was further analyzed using NVIVO.FindingsThe results suggest that consumers of payday loans in Indonesia and the USA hold positive views about the benefits of payday loan apps, as revealed by the word frequency and word cloud analysis. Notably, customers in both countries did not express any negative sentiments regarding the unethical interest rate charged by the payday loan, contradicting what is commonly reported in academic literature. However, a distinct pattern of unethical conduct was observed in both countries concerning marketing communication and debt collection practices. In the Indonesian market, payday loan companies were found to engage in unethical debt collection activities. In the US market, payday lenders exhibited unethical behavior in their marketing communication, particularly through deceptive advertising that makes promises to consumers that are not delivered.Originality/valueThe study aims to provide evidence on the various experiences of customers in the presence and absence of debt collection regulations using a novel methodology and a large sample, which strengthens the results and conclusions of the study. The study also intends to inform policymakers, particularly the Indonesian government, about the need for specific laws to regulate the debt collection process and prevent unethical practices. Ultimately, the study is expected to protect the rights of consumers from a deceptive marketing communication or unethical debt collection practices in both the Indonesian and US markets.

Analysis and Assessment of Legal Protection of The Community and Online Loan Debtors During The Covid 19 Pandemic

Online loans during the Covid 19 pandemic have caused serious problems because of the many threats, extortion and even leakage of personal data by illegal online loan companies. However, that doesn't mean that legal online loans don't have their own problems. The author then conducts research to understand the causes of this phenomenon from the point of view of normative juridical analysis. The results of the study show that the legal system in Indonesia does not provide adequate legal protection so that people are not encouraged or forced to apply for online loans. In addition, the legal protection system from the government to the community and online loan debtors has not been properly systemized.

Loan default prediction using a credit rating-specific and multi-objective ensemble learning scheme

For the consumer lending industry, credit risk assessment is a crucial task for evaluating the default probability of loan applications given the potential loss caused by default. In particular, loan default prediction is a challenging classification problem due to the highly imbalanced class distribution and a model with both strong default identification ability and overall classification accuracy is exceedingly hard to achieve. Furthermore, most existing studies analyze loans with distinct credit ratings as a whole, ignoring the important relationship between class imbalance and specific credit rating categories. Meanwhile, considering loan companies' different risk preferences when reviewing loan applications, this paper proposes a rating-specific multi-objective ensemble learning framework. Specifically, a credit rating-specific modeling strategy is used to construct candidate models for subpopulations of loans having similar default risk. A multi-objective ensemble learning method is developed using an effective imbalanced classification method, One-Class SVM, as the base learning algorithm. A multi-objective evolutionary process is employed for ensemble construction and an adaptive classification boundary adjustment process is proposed to improve the imbalanced classification performance. To validate the proposed methodology, we conduct comprehensive experimental studies and compare the proposed method with several benchmark algorithms on an industry provided data set. Our experimental results demonstrate the advantage of a rating-specific strategy and also demonstrate the superiority of the proposed multi-objective ensemble learning method. Important managerial implications in the consumer lending industry are discussed.

Online Lending Business And Its Criminal Aspect Of Collectibility

Online lending business opportunities or what is often referred to as fintech applications grow very fertile in today's digital era. On the one hand, it can be assumed as the growth of the economy, but on the other hand, the collectibility side for these business actors reflects a concerning reality. There are events where they are actually disturbing when collecting using harsh methods, with words that tend to be threatening and inhumane. This is an unlawful reality. This paper will discuss the criminal aspects of these activities from the perspective of the Electronic Information and Transaction Law. This study is conducted using a descriptive method with a normative approach. The data sources analyzed are secondary data, which are then interpreted qualitatively. The results of the study show how the billing model can be seen as an unlawful act in Article 27 Paragraph (1) of the Electronic Information and Transactions Law. Thus, the individual collectors of the online loan company can be held criminally liable.

The Impact of Training and Development Programmes on Retention of Staff: A Case of Global Access Savings and Loans Company Limited, Accra

The Impact of Training and Development Programmes on Retention of Staff: A Case of Global Access Savings and Loans Company Limited, Accra

Effect of firm size and corruption on financial challenges of savings and loans companies: Evidence from Ghana

Savings and loan companies have attempted to satisfy the needs of their customers by raising assets and giving them credit. The study examines the financial challenges of savings and loan companies in Ghana from 2016 to 2021. The data came from the Savings and Loans Companies database and the Bank of Ghana (BoG) database. Using panel data analysis and the Whited-Wu Index, the results show that the firm shows a consistent higher level of financial constraints of −1.7 in 2016. From 2019 to 2021, the company will have easier access to funds compared to the period between 2017 and 2018. The study shows that cash holdings and private credit have a positive influence on the financial constraints of the companies. The study also found that firm size, collateral security, corruption index, and exchange rate significantly affect the financial challenges of companies negatively. It turned out that there was no connection between Ghana's economic growth and the company's financial challenges. The absence of sufficient financing significantly affects operations and profitability for the company. It is therefore recommended that there be business realignment at the savings and loan companies in Ghana. Company realignment is mostly done to get out of lines of business with poor margins and go into lines that are more naturally financially smart and boost performance.

Review on the Impact of Financial Institutions’ Systems on SMEs’ Access to Finance

The importance of Small and Medium Enterprises (SMEs) in economic growth is becoming increasingly acknowledged. In Ghana, 85% of manufacturing jobs are provided by SME's, making up 92 percent of firms and contributing 70% of the country's GDP. Funding is a major barrier for many SMEs, particularly in Sub-Saharan African nations. The formal financial sector in Ghana comprises commercial banks, rural and community banks, savings and loan companies, and non-bank financial institutions. Legislative efforts have been put in place to help SMEs, but financial institutions have been cautious with lending to SMEs due to high default rates and risks associated with the sector. This paper seeks to review the impact of financial institution systems on SMEs access to finance in Ghana. A systematic review of literatures related to requirements and systems of financial institutions on SMEs access to finance in Ghana was conducted with the aid of online research journal websites. Seven articles were identified to be useful to the study, and six factors were identified to impact SMEs access to finance: collateral pledges, conditions attached to bank loans, high transaction costs, inadequate information about SMEs, Commercial Bank’s Profits Orientation and short period for repayment. SMEs in Ghana are not able to access funds due to their small size and lack of assets and capital, and lack the capacity to meet financial institutions. SMEs are important for the growth and development of a nation, but their access to finance is hindered by financial institutions. To address this, policy makers, government officials and legislators should make laws that favour SMEs in accessing finance to reduce requirements and increase access to finance.

FINTECHS E BANCOS TRADICIONAIS: REGULAÇÃO, COMPETIÇÃO E COOPERAÇÃO NO BRASIL

Abstract This article aims to analyze the characteristics, limitations and contradictions involving financial technology companies (fintechs) and traditional banks in Brazil. The paper describes the two new categories aimed at regulating fintechs in Brazil: the so-called Direct Credit Company (Sociedade de Crédito Direto) and the Personal Loan Company (Sociedade de Empréstimo entre Pessoas). The paper challenges the idea that financial technology inevitably introduces competition into the financial market, as it describes relevant mechanisms of cooperation between financial technology companies and traditional banks, with potentially high gains for both of them. Finally, using the data provided by the Central Bank, we compare interest rates charged by a local fintech and by its major shareholders, which are traditional banks. Although our analysis is still exploratory, it shows that the fintech controlled by large traditional banks charges higher interest rates than their controllers, suggesting a fruitful research agenda to investigate whether this occurs systematically or not.

A Study on Evolution Game of Accounts Receivable Pledge Financing in Supply Chain Finance Model

In practice, due to information asymmetry and the bounded rationality of game participants, most of the actions taken by game participants are irrational. The evolutionary game theory is based on bounded rationality and looks at the adjustment process of group behavior through the perspective of system theory. Therefore, this paper will use the idea of evolutionary game to discuss the issue of SMEs' accounts receivable pledge financing under the supply chain finance model. This paper builds the model on the basis that both sides of the game are bounded rationality. In real life, the behavior of individuals tends to be more bounded rationality. By constructing an evolutionary game model under bounded rationality, we can see that the final evolution result between banks and loan companies is related to many factors. From the phase diagram of the evolutionary game, it can be seen that the area on both sides of the dotted line of the phase diagram is mainly determined by the profit matrix, but the direction of the final evolution is mainly determined by the initial state of the game.

A Study on Evolution Game of Accounts Receivable Pledge Financing in Supply Chain Finance Model

In practice, due to information asymmetry and the bounded rationality of game participants, most of the actions taken by game participants are irrational. The evolutionary game theory is based on bounded rationality and looks at the adjustment process of group behavior through the perspective of system theory. Therefore, this paper will use the idea of evolutionary game to discuss the issue of SMEs' accounts receivable pledge financing under the supply chain finance model. This paper builds the model on the basis that both sides of the game are bounded rationality. In real life, the behavior of individuals tends to be more bounded rationality. By constructing an evolutionary game model under bounded rationality, we can see that the final evolution result between banks and loan companies is related to many factors. From the phase diagram of the evolutionary game, it can be seen that the area on both sides of the dotted line of the phase diagram is mainly determined by the profit matrix, but the direction of the final evolution is mainly determined by the initial state of the game.

ONLINE BUSINESS COMPANY MARKETING STRATEGY MARKET SEGMENT GENERATION Z

The discussion in this journal will focus on how the marketing strategy of online business companies in capturing market share, especially the Generation Z who dominates the world's population today. The digital economy concept is not much different from the general economic concept, but what distinguishes it is the transaction system in carrying out economic activities. The results of the study explain that online motorcycle taxi companies such as Gojek have the power as pioneers of online motorcycle taxi companies in Jakarta, this is a solution for Jakarta residents, especially Gen Z whose population is very dense so that the existence of Gojek will greatly assist Gen Z residents in meeting their needs, especially the costs involved. cheap according to the site www.aturduit.com. Gojek's weakness is a problem that must be resolved by the operator because it is related to the company's internals in this case is the "naughty" driver. Threats in the Gojek company are a classic thing faced by every business whose orientation is profit and finally the opportunity for Gojek according to the author is very large because the community's need is very high for mass transportation. Danaprospera.id's market segmentation includes investors, entrepreneurs and Gen z or young people who are productive and innovative. This is strongly supported by the commitment of online loan companies that are not burdensome in terms of bureaucracy according to the www.modalrakyat.id website.