中小企業不良放款居高不下且銀行業為追求業務成長與授信品質，本研究結果可作為銀行授信的參考。 Loans to small and medium business have become one of the most important businesses among financial and banking institutions for high profitability. However, lack of transparency in the financial reports of small and medium business has made the loan risk management a critical issue for the financial and banking institutions.
The study samples cover the cases on three private commercial bank loans to small and medium business in northern Taiwan. Using the multinomial logistic regression model, this study examined the effect of the borrower’s end, credit records, loan purposes, guarantees as well as the bank’s loan approval amounts on loan extension. The resultants of this study are:
(1) When there were one or two guarantors, the borrowers were more likely to incur overdue loans and require loan extension. When there were three or four guarantors, the borrowers were more likely to pay the principles and interests on time according to the loan payment schedule.
(2) The borrower’s loan to sales ratio was positively related to loan extension. Borrowers with higher loan to sales ratio were more likely to be overdue loans and require loan extension negotiation.
(3) The interaction between the borrower’s loan to sales ratio and the bank’s loan amount did not have a significant effect on overdue loans and loan extension negotiation. However, the bank’s loan amount enhanced the positive effect of the borrower’s loan to sales ratio has a positive effect on call overdue loans or bad debts.
(4) The borrower’s guarantees did not have a significant effect on loan extension. However, the bank’s loan amount enhanced the positive effect of guarantees on call overdue loans or bad debts.
This study also showed that many current evaluation items used by banks did not have a significant relationship with the determinants of loan extension including the time of set-up, the amount of owner’s equity, the number of credit information inquiries on borrowers and their spouses, borrowers’ and their spouses’ credit lines, the number of credit cards used by borrowers and their spouses, loan purposes.
The financial and banking institutions have lent a significant amount of bad loans to small and medium business on seeking business growth and loan quality, the results of this study can provide useful information for banks lending.
