This research employed a binary variable, default payment (Yes = 1, No = 0), as the response variable. This study reviewed the literature and used the following 23 variables as explanatory variables: X1: Amount of the given credit (NT dollar): it includes both the individual consumer credit and his/her family (supplementary) credit X2: Gender (1 = male; 2 = female). X3: Education (1 = graduate school; 2 = university; 3 = high school; 4 = others). X4: Marital status (1 = married; 2 = single; 3 = others). X5: Age (year) . X6 - X11: History of past payment. We tracked the past monthly payment records (from April to September, 2005) as follows: X6 = the repayment status in September, 2005; X7 = the repayment status in August 2005; X11 = the repayment status in April, 2005. The measurement scale for the repayment status is: -1 = pay duly, 1 = payment delay for one month; 2 = payment delay for two months; .. .; 8 = payment delay for eight months; 9 = payment delay for nine months and above. X12-X17: Amount of bill statement (NT dollar). X12 = amount of bill statement in September, 2005; X13 = amount of bill statement in August, 2005; ...; X17 = amount of bill statement in April, 2005. . X18-X23: Amount of previous payment (NT dollar). X18 = amount paid in September, 2005; X19 = amount paid in August, 2005;.. .;X23 = amount paid in April, 2005