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Table 4 Comparison Between Traditional and Internet Finance Risk Management

From: Harnessing Internet finance with innovative cyber credit management

Credit Risk Sources Traditional Risk Management Internet Finance Risk Management
Personal Information Moral, personal, vocational, and financial characteristics Personal Information in traditional risk management, personal role in finance market, personal behavior on Internet such as online purchase, online investment, social media activities, project history
Macroeconomic Information Employment rate, interest rate, and stock change index Macroeconomic Information in traditional risk management and regulations on internet finance.
Network Level Information Not considered Lender-lender relationship, lender-borrower relationship
Borrower-borrower relationship
Platform Information Not considered Platform information such as guarantee, platform security, policies, business model, and reputation