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The reputation problem is one of the main bottleneck problems for e-commerce. To a certain extent, the credit evaluation systems provided by C2C e-commerce websites guarantee the safety of transactions on Internet, and promote people's online shopping wishes. This paper first introduces existing credit evaluation model for C2C e-commerce, and analyzes the major problems in it. Then an improved credit evaluation model for C2C e-commerce is created. Based on the improved model, a new weighted rating algorithm is proposed to reflect the influence of evaluation-provider's credit and the amount of a transaction on the change of the evaluation-receiver's credit. And a new credit updating algorithm is described. The new credit evaluation model is validated using synthetic data.