Taking China City Commercial Bank as a sample, this paper investigates the relationship between regional credit environment and bank loan portfolio, and investigates the credit differences under different legal protection.

The results show that the better the credit environment, the more credit loans, personal loans and short-term loans are issued by city commercial banks, and the conclusion remains stable after considering endogenous problems.

According to the degree of legal protection, we further test it. The results show that the credit environment only exists in areas with poor legal protection, and the conditions for banks to choose loan portfolios are also different: when choosing the form of guarantee, banks mainly make decisions according to the situation in areas with poor legal protection, but the opposite is true when deciding the nature and term structure of loans.