Journal of the Korea Safety Management & Science (대한안전경영과학회지)

Korea Safety Management & Science (대한안전경영과학회)
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Empirical Analysis of Credit Card Delinquency Effect by Market Competition

시장 경쟁이 신용카드 연체부도율에 미치는 효과에 대한 실증분석

  • Ko, Hyuk-Jin (Department of e-Business, Korea Polytechnic University) ;
  • Seo, Jong-Hyen (Department of e-Business, Korea Polytechnic University)
  • 고혁진 (한국산업기술대학교 e-비즈니스학과) ;
  • 서종현 (한국산업기술대학교 e-비즈니스학과)
  • Received : 2009.10.20
  • Accepted : 2009.12.01
  • Published : 2009.12.30
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Abstract

The purposes of this article is to analyse how market competition of credit card company affect price(interest rate) and survival length of card users. This paper uses individual account data from a large Korean credit card company during the periods from 2002 to 2006. The findings of our study are as follows. First, market competition of credit card company have a negative effect with interest rate of credit card. Second, market competition of credit card company have a affirmative effect with survival length. Finally, The effect of Increasing delinquency rate due to price increase is smaller than decreasing delinquency rate due to extending survival length.

Keywords

References

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