The Impact of Online Credit Lending Model on the Public's Overspending Decision

Yanchu Chen; Hengtao Fan; Yuming Huang

doi:10.54254/2754-1169/24/20230416

Research Article

Open access

Published on 13 September 2023

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Chen,Y.;Fan,H.;Huang,Y. (2023). The Impact of Online Credit Lending Model on the Public's Overspending Decision. Advances in Economics, Management and Political Sciences,24,60-70.

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The Impact of Online Credit Lending Model on the Public's Overspending Decision

Yanchu Chen ¹, Hengtao Fan ², Yuming Huang *^,3,

¹ Nanjing University of Finance and Economics
² The University of Queensland
³ Shandong University

* Author to whom correspondence should be addressed.

https://doi.org/10.54254/2754-1169/24/20230416

Abstract

In recent years, with the rapid development of the Internet, the financial market pattern is also changing. And the way of consumption through the Internet is gradually becoming mainstream. In order to meet the needs of the majority of consumers, online credit products have emerged. The emergence of this new financial service is not only a change in the quality of life of the masses of society, but also a new challenge for the financial market. Therefore, this paper investigates its impact on consumers' over-consumption decisions. Through regression analysis, we conclude that there is a positive relationship between the online credit lending model and the public's overspending decision. And the higher the loan amount, the longer the repayment period, the lower the loan interest rate, and the more accessible the loan qualification, the higher the public's willingness to overspend. On the other hand, the degree of loan facilitation has no statistically significant effect on the degree of overspending. By establishing a model to analyze the degree of overspending, this study is conducive to the establishment of reasonable consumption habits by consumers. It can help the financial service industry understand customers' consumption tendencies, rationalize their programs and provide a reference for government agencies to formulate economic policies. And it can promote the successful development of the financial market.

Keywords

online credit, overspending, linear regression

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Cite this article

Chen,Y.;Fan,H.;Huang,Y. (2023). The Impact of Online Credit Lending Model on the Public's Overspending Decision. Advances in Economics, Management and Political Sciences,24,60-70.

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About volume

Volume title: Proceedings of the 2023 International Conference on Management Research and Economic Development

Conference website: https://2023.icmred.org/

ISBN：978-1-915371-91-1(Print) / 978-1-915371-92-8(Online)

Conference date: 28 April 2023

Editor：Canh Thien Dang, Javier Cifuentes-Faura

Series: Advances in Economics, Management and Political Sciences

Volume number: Vol.24

ISSN：2754-1169(Print) / 2754-1177(Online)

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