A Research On How To Prevent National Commercial Banks' Risk Of Credit For Private Auto Consumption

Recently, with the steady growth of the national economy and the arrival of an upgraded consumption era, the auto industry has stepped into a period of rapid development for popularization. Commercial banks, crucial financial supporters of the auto industry, have witnessed a zigzagging process of start, development, cooling down and resuscitation since the introduction of credit business for private auto consumption. Risks arising from the lack of a set of scientific and efficient risk prevention mechanism, the incomplete establishment of the national credit system and the morbidity of the relevant legal regulations have gradually become the bottleneck for notational commercial banks' credit for private auto consumption.On the basis of a full analysis of the causes of private auto consumption credit risks from the consumer, the commercial bank, business partners, and social economic environment, this thesis proposes that commercial banks should strengthen their efforts in analyzing and identifying risks, and take corresponding measures to keep them within control. Commercial banks should develop within themselves a general pre-loan credit grading system for private auto consumption, and set up an after-loan risk preventive mechanism, so as to increase risk transference channels and strengthen management of risky business operation. Meanwhile, the government should advocate creating a complete personal credit grading system, improve the relevant laws and regulations, and reinforce the innovation of the financial market, so as to regulate the social economic environment. With theses two sides working together, a private auto consumption risk preventive system can be successfully established and a rapid and steady development in private auto credit business can be achieved.