EMS Jilin Branch Bank Card Collecting Research On Risk Management Of Business

Having developed in china over2decades, bank card and the relevant businesses are playing an increasingly important role in the social and economic activities. Based on the statistics released by china Unionpay in January14th2011, in2010, transactions made by bank card hit a new record with the amount of multibank transactions standing at11.2trillion Yuan, an increase of46%then the corresponding time last year. In2010, business networks of china Union Pay have fasten its steps towards middle-sized and small cities aswell as the expanded rural areas in china, with the number of merchants connected to the networks increased40%, POS sites increased38%and ATM increased31%, among which, the service of the Unionpay making payments easy for the citizens has expanded to over200cities in china covering64000branch sites.The boost of china’s economy has also improved the outbound environment of the business operation of the Unionpay and facilitated its usages outside china. The transactions of bank cards with the sign of Unionpay have increased by a year-on-year75%. At the meantime, with the spread and popularityof bank cards, the bankcard consumption business has also witnessed a rapiddevelopment, while exposed many risks such as the deficiency of training cahiers and their disability of solving relevant issues, thus increasing the risks for the missing cards being swiped illegally. Besides, many suspicious transactions were consented tacitly, and many illegal merchants colluded with card hol ders to hack money and so on, these are the urgent issued needed to be resolved.In structure, this paper is divided into four chapters. By combining withthe practical works of the Jilin Branch Company, this paper is mainly research the risk management of the bank card consumption business and analysis its management level of the bankcard consumption business. Meantime, the strategies of the risk management bank card consumption business are also discussed in this paper, and the risks of the consumption service of Union pay business card are also studied combined with the practice of Jilin Branch Company of the Union pay, making strives to evade those risks and provide solutionsfor the risk management of the bankcard consumption market.The conclusions drawn from this paper are the following aspects. First, there exits many problems in the bankcard consumption business of Jilin branch company such as the deficiency of cashier training, the disposition of riskwarding system, the imperfect of inspection and supervision system and the misunderstanding of the risks in the business as well as the over simple waysof resolving the daily consumption businesses. All these problems are causedby inefficient risk control of the business in the entire market. Second, with china’s social and economic development and the increasing amount of transactions made by bankcard, we should refer to the experience of foreign countries in terms of managing the risks of bankcard consumptions and practice theseexperiences in every linkage of making appointment, checking and installingas well as daily repair and maintenance. Making relevant risk control systemand processes is the basic way of risk management.China’s bankcard consumption businesses have experienced development over10years and have surpassed infant stage, from pursuing transactions and the machine stalling number aimlessly to a stable market direction. The main t argets in the future should be to improve the development of bankcard consumption business steadily based on the risk management and provide a low-risk, efficient and stable electronic payment environment. At length, as a third party paying company; Jilin Branch Company should make the risk control thepriority, notice and address the issue side by side so as to provide various risk information for other agencies in the bankcard consumption industry, making our sue contributions. at the final part, from the perspectives of inner staffmanagement, informational techniques and laws and regulations, this paper suggest that Jilin branch company of Union pay should improve training system,enhance business management system, establish technique system supervisingtransactions, perfect financial law system and scheme its risk management from multi-angles and perspectives.