U.S. commercial banks are increasingly using credit scoring models to underwrite small business credits. This paper discusses this technology, evaluates the research findings on the effects of this technology on small business credit availability, and links these findings to a number of research...

This study examines the use of small business credit scoring (SBCS), a newly introduced technology to quantitatively evaluate small businesses applications for micro credits of less than $250,000. Credit scoring statistically predicts the likelihood of borrower default or delinquency. SBCS data...