The Studies On Credit Risk Management Of Jilin Province Rural Cooperative Financial Institutions

Credit risk is the oldest risk in the financial market. It is accompanied by the Credit Risk Management throughout the whole process of commercial banks historical development. Since 70s of the 20th Century, Financial Liberalization and Globalization have an unstoppable trend, Financial Innovation develop very rapidly. It is very difficult for regulatory measures of the regulatory authority and the management level of the commercial banks to adapt to the increasingly complex risks faced by the banking environment. Credit Risk Management has become the most important strategic problem that commercial banks face. The developed country's research of Credit Risk Management conducted very early and developed a more robust systematic theory and practical application in commercial banks by and by . Jilin Province Rural Cooperative Financial Institutions have the consistent general credit risk management practices and principles with the commercial bank. Therefore, how to identify the gaps and problems, propose measures to enhance credit risk management is an important task.In this article ,the first Chapter is on the definition of Credit Risk Management and the significant factors influencing it. Credit risk refers to: the debtor obtaining the support from the bank, due to various reasons, are unable or unwilling to repay the debt in full compliance with the contract that implies the main creditors, which suffers losses. The credit risk of loans refers to: the risk that come into being when the borrower is unable to repay loans according to the contract agreement. According to the nature of the trigger causes can be divided into moral hazard and economic risks. The main factors affecting the...