Abella, David John R., Boqueo, JJ B., Gonzales, Jascha Rae P., Omega, Angelo S., Valencia, Bianca Ericka O. 4 0
The effects of credit scoring on credit accessibility of micro-enterprises in the First District of Manila / 6
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Abella, David John R., Boqueo, JJ B., Gonzales, Jascha Rae P., Omega, Angelo S., Valencia, Bianca Ericka O.
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- 125 pages 28 cm.
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Undergraduate Thesis: (BSBA major in Financial Management) - Pamantasan ng Lungsod ng Maynila, 2023.
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Abstract A credit score, which consists of three digits, rates the creditworthiness of a client. The range of FICO scores is 300 to 850. The likelihood that you will be approved for loans and receive better rates increases with your credit score. Micro-enterprises are companies that operate on a very small scale, often as a sole proprietorship. The typical micro-enterprises businesses in the Philippines have an asset size of PHP 3 million or below and employs below 9 individuals. This research study is aimed to know the Effects of Credit Scoring on Credit Accessibility such as loan amounts, of those approved Micro-enterprises in the First District of Manila. To know the result of the study, a survey questionnaire was filled out by over 35 respondents in Manila's first district using a Purposive Sampling Technique since the exact data for population is not available for secondary data. It aims to identify four factors: (1) profile of the micro-enterprise, (2) demographic profile of the owner, (3) how influential is credit score on loans for micro-enterprises, and (4) credit score range assures an approved loan application regardless of other variables/factors. The study employed descriptive research methods to analyze the data. The gathered data shows that a better credit score has a positive and very favorable effect on loans for micro-enterprises. Respondents with unknown credit ratings or credit scores that are not yet applicable have little to no impact on loans for micro-enterprises. The gathered data lead to the conclusion that the credit scores do not significantly influence the approval of loans for micro-enterprises.