Research Of The Risk Control For Renrendai Co.,Ltd

In the recent years, the P2 P lending platform has developed rapidly. It has brought profits to many small and micro businesses and individuals who need loans because it is inclusive, convenient and digitized. In comparison with banks, guarantee companies and small lenders, the P2 P lending platform is linked to guarantees without industry supervision and leverage limits, which means it faces more risks. Therefore, whether the P2 P lending platform would take proper and effective risk-control measures or not remains the key to its survival among fierce competitions.The P2 P lending industry is emerging in the financial market in the recent years. The risk-control research of the P2 P lending platform is under exploration theoretically and practically in China. During such a painstaking and intricate exploration, more and more platforms were trapped in financial crisis or went bankrupt due to the lack of proper risk-control measures, whereas some platforms have succeeded in finding a risk-control way in line with their own development. The research object, Renrendai Business Ltd. has won highly praise from its contemporaries for its strict risk control measures. Since its establishment in 2010, Renrendai adopts credit authentication, cooperative credit investigation, loans distribution and risk imprest strategies and measures in line with its products and business features, so it wards risks the platform faces to some extent and guarantees the profits of itself and investors.Based on risk-control theory and instancing the Renrendai Business Ltd., this thesis serves to analyze the properness and potential vulnerability of its risk-control measures from the main risks it is confronted with by using its operation data for the recent years. Moreover, this thesis will put forward feasible suggestions in the aspects of the platform itself and its strategic cooperation by analyzing the weakness of its risk-control measures. It is desirable that the thesis would be valuable to many P2 P lending platforms.