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Table 11 Average marginal effects

From: Fintech platforms: Lax or careful borrowers’ screening?

  (1) Low-risk class (2) Medium-risk class (3) High-risk class
AME SE AME SE AME SE
Not verified − 0.00600*** 0.00129 − 0.00597*** 0.000671 − 0.00449*** 0.00115
ln(Loan Amount) 0.00923*** 0.00189 0.00853*** 0.000843 0.00622*** 0.00133
Term − 0.0155*** 0.00197 − 0.00572*** 0.000672 − 0.00188** 0.000958
Interest rate − 0.00107*** 0.000354 0.000282*** 6.63e−05 − 0.000415*** 0.000132
Revolving utilitation 0.0195*** 0.00276 0.00509*** 0.00121 − 0.00165 0.00181
Months since last delinquent − 0.00016*** 2.77e−05 − 0.000105*** 1.26e−05 − 6.75e−05*** 1.90e−05
Debt to income ratio 0.000307*** 7.78e−05 0.000267*** 3.24e−05 0.000304*** 4.70e−05
ln(Annual Income) − 0.00217 0.00166 − 0.00174** 0.000737 − 5.18e−05 0.00117
Employment length 0.000236 0.000181 0.000258*** 8.24e−05 0.000253** 0.000125
Loan to annual income − 0.101*** 0.0108 − 0.0633*** 0.00420 − 0.0447*** 0.00604
Loan purpose: credit card 0.00879*** 0.00249 − 0.00129 0.00112 − 0.00381** 0.00178
Loan purpose: debt consolidation 0.00775*** 0.00232 − 0.000549 0.000952 − 0.00260* 0.00136
Loan purpose: small business − 0.00140 0.00663 − 0.00683*** 0.00227 − 0.00226 0.00297
Home mortgaged − 0.0277 0.0314 0.00167 0.0153 0.0272 0.0222
Home owned − 0.0198 0.0315 0.00626 0.0153 0.0327 0.0222
Observations 32,906   136,791   56,652  
  1. This table reports the average marginal effects of the models presented in Panel A. The dependent variable is RR within each risk class. Standard errors in parentheses
  2. *, ** and *** denote 1%, 5% and 10% levels of significance, respectively