Factors in Credit Decision-making and Related Research Gaps in Indonesia: A Literature Review

For wholesale and Small Medium Enterprise (SME) segments, the credit decision-making process in banking mainly uses a human approach. Although there is already automation in determining the credit system at the bank, the human side still dominates the final decisions. An analyst from the bank needs to understand the background and factors which influence effective decisions. This study aims to review the literature to identify determinants of credit decision-making—The authors used a systematic article search for empirical studies conducted from 1990 to 2021 about the topic. The results suggest three conclusions about factors in credit decision-making: decision-maker's external factors, decision-maker's internal factors, and related research gaps in Indonesia.