Commercial banks' triumphant Internet loan business is in urgent need of regulation.
The 21st Century Business Herald reporter was informed that the regulatory authorities are developing management measures for the Internet loan business carried out by commercial banks. Last year, the regulatory authorities had solicited opinions on the management methods for private banks to carry out Internet loans. After considering that commercial banks have generally launched Internet loan business, they proposed to unify regulatory requirements.
The reporters of the 21st Century Business Herald have learned from various sources that the relevant management measures are still in the stage of internal consultation for comments.
"We are very concerned about the regulatory requirements for this piece of the project, and the impact is too broad." A business person in charge of a commercial bank in Central China told the 21st Century Business Herald. At the moment, almost all commercial banks have launched Internet loan business. Typical online banking companies such as Internet merchant banks, Weizhong Bank, and Xinwang Bank, as well as pure online credit products of some commercial banks' mobile banking or direct selling banks, and many commercial banks through the ants Jinfu, Jingdong Finance, and Xiaoman Such as financial technology companies to cooperate to launch credit products.
Territorial management challenge
Internet loans take into account factors such as risk tolerance, convenience and actual use. Small-scale decentralization is the characteristic of most current bank Internet loan products. Taking China Merchants Bank Lightning Loan as an example, the amount of personal wage paying customers is less than 300,000 yuan, and the credit limit of enterprises is generally less than 200,000 yuan. The micro-credit of personal small-value credit products launched by Weizhong Bank has a maximum amount of 300,000 yuan. The net credit line of the pure credit personal business loan network launched by the online merchant bank for e-commerce merchants is 1 million yuan. Online loans generally have a short period of time, generally no more than one year, and most products can be used on a daily basis.
Internet loans have broken geographical restrictions, but this is in conflict with territorial management in bank supervision. Regional banks represented by city commercial banks and agricultural business behaviors not only have the impulse to expand their business outside the region, but also worry about the regulatory authorities restricting the business outside the region. Even for local customers, the touch of the Internet is the trend. Customers are less and less involved in banking outlets, and regional banks that serve local customers are not immune.
If the regulatory authorities reaffirm territorial management and require regional banks to serve local customers, what impact will it have? There are market rumors that the balance of Internet loans issued by the regulatory authorities for foreign customers must not exceed 20% of the total balance of their Internet loans. According to the above-mentioned Huazhong regional city commercial bank, if this standard is adopted, there will be restrictions on the online credit business of many banks. "More than 20% is too much."
However, many commercial bankers told 21st Century Business Herald that it is not unexpected that the regulatory authorities will limit the size of credit business outside the region in the future, but there are different opinions on the proportion of business restrictions outside the region.
“Now the population is very mobile, and is there any regional restrictions on online business? Is it a prisoner?” A city commercial bank president in East China told the 21st Century Business Herald.
In addition, the identification of the business outside the region has also received much attention in the operation. “Online loans for corporate customers are usually subject to the industrial and commercial registration. However, for individual customers, most of the household registrations are different from the working and living locations. How do you determine them? Of course, the household registration is the most operational, but it is unavoidable. It is too simple and rude." The person in charge of the network finance business of a city commercial bank in North China said.
Joint loan pending regulation
Some small and medium-sized regional banks that want to expand their Internet loan business are lacking in technology talents, online risk control technology, and customer acquisition capabilities. Cooperation with powerful banks or financial technology companies has become a common choice.
The 21st Century Business Herald reporter learned that when working with financial technology companies, the common model is that financial technology companies conduct risk assessments of customers within the system, recommend them to financial institutions after verification of anti-fraud, and then recommend them to financial institutions. Conduct credit evaluation, approval of credit line and price.
The above-mentioned bank of the city commercial bank's network finance business has cooperated with a number of financial technology companies. He told 21st Century Economic Reporter that he cooperated with new financial technology companies. First, he valued the accumulation of the other party's credit card customers; on the other hand, the technical ability in the field of anti-fraud and network black production was generally stronger. However, the customers recommended by the financial technology company are not all received, and the bank must conduct another process such as credit review and risk control. "The risk control capability is the core of the banking business. If these financial technology companies only pay for the customers' ratings, then the bank will be the capital channel, which is not allowed by the regulatory authorities."
In the risk supervision guidelines for information technology outsourcing activities of commercial banks, the former China Banking Regulatory Commission also required that banking financial institutions should be guided by “not impeding core capacity building and actively mastering key technologies” when outsourcing.
Under the strict financial supervision requirements, in cooperation with external institutions to lend, it must be an institution with the qualification of lending business. The 21st Century Business Herald reporter learned that while cash loans are booming, there are some small banking institutions that cooperate with online credit companies to provide funds to earn risk-free spreads. When the central bank and other regulatory authorities reorganized the “cash loan” business in December last year, it was clearly required that the banking institutions should not provide loans for any institutions that have no qualifications for lending business, and should not jointly fund loans with institutions that do not have lending business qualifications.
However, when conducting joint loan business with a qualified institution, the bank that accepts the customer's recommendation also has the embarrassing situation of being a financial channel. A number of interviewed commercial bank people mentioned to the 21st Century Business Herald that the micro-credit as an example, the funds behind it come from a number of banks, but for the investment banks, in addition to the scale of lending, they are shared with the micro-bank In addition to the diversification, the ability to improve in various aspects such as brand and risk control is limited.
The president of the East China City Commercial Bank told the 21st Century Business Herald that it is reasonable for the regulatory authorities to regulate the proportion of joint loan business. “If a bank’s customers rely heavily on external recommendations, this is not good for the cultivation of bank competitiveness.”
If the regulatory authorities restrict the proportion of the fund of the client's recommender bank in the joint loan and the proportion of the joint loan in the future, the business model represented by the micro-credit will be greatly affected.
(Article source: 21st Century Business Herald)