The Research On Risk Prevention Of Housing Fund Loan

Personal loan business has been in rapid enlargement with accompany of the working up of Housing management system reformation in China. Housing Fund System is set up in 1991 based on the Singapore Central Housing Fund System experience to solve family accommodation who earn low -middle income and to increase the housing consume ability in China. During the recent years, housing fund system plays an effective role to improve their consume ability.Housing fund system is set up in year 1992 in City A. The percentage that housing fund loan occupies personal housing loan increases day by day. Then, housing fund loans becomes employees' preferred choice due to its more health recycle, organic development enjoying low interest and good service. Now, the loan call back is in the stage of high risk because of unhealthy law and regulation, and limited system. This paper analyzes the development and current status of housing fund loan system in City A, and concludes the achievement and experience. Thereafter, the more detailed analysis is given on risk encountered and risk reason to show the complexity and seriousness of housing fund loan risk. On the other hand, the paper makes further analysis on the reason why risks show up with the reference of advanced risk management experience by commercial bank. Finally, this paper gives practical measurement to avoid all of risk hidden based on economic process of City A.