Financial institutions first evaluate the customer’s credit history, income level and debt burden when giving a loan or loan. But such a parameter as education is also taken into account. 56.3% of customers of microfinance institutions have secondary education and 31.4% have higher education. This was stated in a study on the online financial platform Webbankir, received by the editors of socialbites.ca.
According to the company, people with a college degree are twice as likely to be approved for loans than those with an average degree. For borrowers with tertiary education, the share of approvals reaches 36%, compared to 19% for holders of secondary education.
Interestingly, university graduates claim 25% more on average and experience less delays in 11% of cases. People with a high school diploma fall behind in loan payments by 14%.
The share of debtors who have not completed their higher education is 12%, and they are in the middle position between those who have graduated from university and those who have never entered university. Their applications are approved in 24% of cases, and the default rate is estimated at 13%.
“The presence or absence of a diploma alone is not a determining factor in the decision to grant or grant a loan. But the statistics are such that the higher the education level, the more disciplined the customer is,” said Andrey Ponomarev, CEO of Webbankir.
He added that training helps you find better paying jobs and improves systems thinking. Such people are better at calculating their plans and generally have a higher level of financial literacy.
At the end of August, Webbankir conducted a study based on an analysis of more than 100,000 loans granted across Russia between January and July 2023.
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