Talk About Loan Risks & Legal Anert Of Commercial Banks

Commercial bank is the special enterprise specialized in engaging currency whose basic type in management is high debt, and credit principle is the fundamental that the banking principle exists. Commercial banks become the core economic unit of a country's economy because of the important role they have played to the national economy in credit expansion, currency settlement and center business fields. Steady management and healthy development of the commercial banks become the basic condition and fundamental insurance to a country's economic development. However, according to the continuous intensification of Chinese economic system and the expansion of foreign financial institutes, all contradictions concerning the system grow seriously, bad claim of the nationalized commercial banks grow higher each day, which increased the financial risk and restrained the steady management and development of the banking system.Under the financial supervision system of the diverse management, credit business is the main business of the commercial banks, almost 80% financial capitals come from the banking credit, and credit risk problems get even prominently. To control and turn credit risks efficiently have been believed the key and core measure to avoid the risks. The writer of the essay followed tried to discuss the way to the commercialization of local banks and organization of international finance from following fields as the credit management situation of present commercial banks, analysis to the origin of the credit risks, law system defect, principle construction of the defense to the financial risks, and hope the essay could benefit to the practice.