The Research Of Small Credit Of Postal Savings Bank Branches In The City Of A Microfinance Internal Control Problems

Microfinance is an important source of China’s financial industryrevenue. After decades of rapid development, microfinance has occupiedthe dominate position of income. Postal Savings Bank of China is a newcommercial bank based on postal savings business, in order tosuccessfully complete the transition to modern commercial banks, butalso to better meet the requirements of the local government, the postalsavings bank of China will regard microfinance business as in charge ofbusiness. After a long evolution, microfinance has made great progress,brought certain economic benefits for the enterprise and society, becamea new essential type of business for the local economic. But, because ofthe microfinance business is unique, and the development has not yet formed a certain scale, the developing process is too fast, the ability toprevent and control risk is insufficient, leading to small credit businessinternal control issues highlighted, which also led to the pace ofdevelopment of microfinance business is very difficult. In addition, theleadership compared to the traditional wholesale and retail and largevolumes of loans, but neglected small credit business, it has become agreat danger witch hidden in the development of microfinance.At present,with the rapid development of China Postal Savings BankA branch, as the micro-credit business develops too fast, management isnot perfect, witch lead to some loan customers not timely repayment, thelow rate of repayment and high rate of late has seriously hindered theexpansion of the scale of the operation of small credit business, thusaffected the improvement of the overall economic benefits of bank. Theseinternal control problems stumbled the development of microfinance andbrought the serious influence on the postal savings bank to raise the levelof income. Therefore, we should manage the microfinance business well witch can be taken into an important part of bank management systemand management system innovation, should take practical measures tosolid foundation of the development of microfinance business of thepostal savings bank.In view of the current situation of internal control of the postalsavings bank credit business in this paper, combined with thedevelopment of the postal savings bank A branch credit business problemto study. This paper first introduces the overview of theory and researchon internal control of microfinance business of China postal savings bank,and then analyzes the existing problems of A branch of China postalsavings bank internal microfinance business control, introduces themanifestation of the postal savings bank A branch microfinance businessdevelopment status and risk of internal control, and analyse the causesof the postal savings bank A branch microfinance internal controlproblems from the internal and external two aspects. On this basis, thispaper puts forward to the postal savings bank A branch of microfinance business to take measures to improve internal control, mainly from twoaspects witch strengthen the operations of the bank, effectively guardagainst the risk of internal control and improve management mode of thebank, improve the quality of internal control. This paper contributes tothe postal savings bank A branch microfinance sector to strengthen creditrisk management, so as to better promote the development of the postalsavings bank A branch of microfinance, and can be used for reference toimprove the micro-credit Business Internal Control System of othercommercial banks.