Determinants of credit card debt: Differentiating between revolving credit debt and petty installment loan in China

• DOI: 10.1002/cb.1474
• Publication Date: 2014-04-04T18:38:44Z
• Authors: Lili Wang; Naresh K. Malhotra; Wei Lu
• Keywords: Installment credit; Credit rating; Credit crunch; Debt service ratio

ABSTRACT This research explores the determinants of probability having credit debt, as well severity card debt. Credit debt includes revolving and petty installment loan. The was measured by duration amount loans. Analysis behavioral data from a Chinese commercial bank showed significant difference between Specifically, limit, gender, length ownership card, total expenditure were closely related to likelihood However, age, square ranking, risk ranking significantly correlated with rather than balance had special influence on Compared loan few factors. Both age could predict both gender predicted but did not correlate frequency use Copyright © 2014 John Wiley & Sons, Ltd.