Risk prevention methods and management measures of personal housing loan business of commercial banks in China
Improve personal credit system and establish personal credit system
The target of personal housing mortgage loan business should be people with good credit standing and strong repayment ability, but due to the existence of factors such as information asymmetry, commercial banks cannot fully know all the information of loan applicants, which requires a sound personal credit system.
Although the current personal credit system in China has taken shape and mainly covers personal banking information, including basic personal information, credit card information and loan information, many important credit information such as personal tax payment records and personal property information are not included, and the personal credit system in China is still very thin. Therefore, the following four points must be done to speed up the construction of personal credit system.
1. Establish a personal credit file system.
The personal credit file system mainly uses the computer networking technology of banks, including data from banks, real estate, securities, insurance, commerce, medical care, transportation, etc., and brings together personal credit files for archiving in stages.
2. Establish a scientific and rigorous credit data evaluation system.
The credit data evaluation system should be mainly government departments, a multi-level personal credit investigation and evaluation system, which will enable the government, personal credit investigation agencies and banks to achieve the sharing of system resources.
3、Establish personal credit supervision and management system.
Through the setting of this system, in addition to making the bad credit behavior of residents manifest on the monitoring mechanism of banks, this negative credit record will also have a negative impact on individuals seeking employment, salary promotion and credit consumption in the first place.
4, the construction of personal credit system needs to have matching disciplinary measures.
Through the punishment of bad credit behavior and the formation of a certain deterrent effect in the whole society, and set the retention time of bad credit records, to achieve the purpose of restraining the future economic activities of defaulters.
Strengthen credit management and make good risk prediction
1, strengthen the pre-credit review, review the authenticity of personal credit.
To focus on reviewing whether the borrower has the qualifications and conditions of the loan, whether there is a developer under the name of personal loan; to focus on reviewing the reliability of the borrower’s information, whether there is a “fake mortgage” and inconsistency between the borrower and the actual borrower; to focus on reviewing the borrower’s indebtedness, whether there are loans from other banks or collateral duplication To focus on the review of the borrower’s indebtedness, whether there are other loans or collateral duplication of the situation; to focus on verifying the guarantor’s ability to guarantee, whether there is a borrower and guarantor in partnership to cheat the loan.
2、Strengthen the loan inspection and check the personal credit management system
To ensure that the loan business process, in strict accordance with the loan process, carefully fill out the verification of loan information, to ensure that the loan information file is complete, to eliminate incomplete information, the process is missing; to ensure that the loan approval process, to ensure that the approval of the approval of the qualifications of the approver, in strict accordance with the prescribed operating procedures, to eliminate all speculative conditions; to ensure the effectiveness of the positions, the strict performance of job responsibilities, the effective separation of incompatible positions To ensure the effectiveness of each post, strictly perform the duties of the post, effective separation of incompatible posts, and eliminate the behavior of internal personnel in favor of private interests.
3. Strengthen the post-loan management and pay attention to the use and flow of funds for personal credit.
To focus on post-loan management, review whether the use of credit funds in line with national financial policies. Is the use of compliance, whether there is misappropriation, or illegal flow into the stock market and real estate industry. Commercial banks must closely supervise the registration procedures of collateral as soon as possible, and use it as an important factor to judge the integrity of development enterprises and loan security.
Establishing a risk transfer mechanism for housing loans
Bank risk transfer mechanism can be established through the following three aspects.
First, the property insurance of the house purchased by the borrower. Once the house purchased by the borrower is damaged due to some unforeseen factors affecting its value change, the bank can be paid in priority.
The second is the life insurance of the home buyer. Combining the mortgage loan for the purchase of a house with life insurance, it requires the purchaser to purchase life insurance for the corresponding number of years and amount as security for the loan. It can avoid the risk of the bank’s claim that the loan cannot be recovered due to the death or disability of the homebuyer in the middle of the loan and thus losing the ability to repay.
Third, credit guarantee insurance is a kind of property insurance in which credit interest is the subject of insurance. Credit guarantee insurance includes credit insurance and guarantee insurance. The former means that the right holder takes out insurance with the insurer, and when the debtor fails to fulfill its obligations, the insurer performs or assumes the liability on behalf of the debtor; the latter means that the obligor takes out insurance with the insurer at the request of the right holder or on its own initiative, and when the obligor fails to fulfill its obligations, the insurer performs or assumes the liability on behalf of the obligor. Through the sharing of insurance costs, part of the bank’s risk can be transferred to the insurance industry, which undoubtedly reduces the bank’s loan risk.
Improve the relevant laws and regulations and increase the supervision of personal mortgage
First, in response to the problems that arise in the business practices of raising, financing and receiving real estate funds in various aspects, the existing laws and regulations should be revised to determine the legal status of real estate credit. Improve the relevant laws and regulations, conduct research around all aspects of housing loans, including credit management, mortgage registration, mortgage evaluation, mortgage market management, etc., and formulate unified and standardized laws and regulations to improve their relevance, practicality and operability.
Second, to establish and improve the laws and regulations on real estate credit, such as the formulation of “real estate development enterprise loan management law”, “personal home purchase mortgage management law”, “housing loan insurance law “, “regulations on penalties for violation of real estate credit management” and a series of supporting regulations, clearly stipulate the rights and obligations of developers and individuals, so that enterprises and individuals strictly in accordance with the laws and regulations to regulate the behavior of real estate loans, seriously perform the repayment duties, establish a good cooperative relationship between banking enterprises and individual customers, and jointly Promote the healthy development of the national economy.
Third, strict law enforcement, according to the law. For developers or individuals who provide false information and credit to obtain loans fraudulently, the loans should be stopped immediately and the loaned money should be recovered. At the same time, through legal means, recover the losses as soon as possible and pursue the legal responsibilities of the parties involved.
In recent years, China’s real estate industry has developed rapidly and people’s demand to buy houses is strong, many financial industries, especially commercial banks, have relaxed the loan conditions, leading to a rapid rise in housing prices, while the excessive growth of housing prices has concealed a large number of credit risks and operational risks, bringing significant risk potential to China’s housing mortgage market.
Therefore, the government should drive commercial banks to carry out corresponding risk management and prevention, strengthen the supervision of bank loan quality, comprehensively improve the information management in the loan process, and formulate and improve corresponding laws and regulations, so as to ensure the healthy development of China’s personal housing loan market.