Management Of Non-performing Assets Based On An Internal Control Perspective HS Banks

Our bank is divided into the central bank, commercial banks and policy banks. Which commercial banks are divided into two categories:The first is a rural commercial banks, city commercial banks; the second is the joint-stock commercial banks, state-owned commercial banks. Consider the object of this paper is the city commercial banks, have small asset size, scope narrow features.Most of the city commercial banks set up in accordance with the contemporary enterprise management system, the company management with respect to the more perfect, plus the operating areas are concentrated, messaging faster decision-making flat, with flexible operation with the big banks, can respond quickly to constantly changing,It features rapid decisions on the urgent need for financing companies, with a strong appeal. Also includes a blend of the local economy and geopolitical advantage. Most of the city commercial banks and local governments and enterprises to maintain close relations, has geographical advantages and limitations on access to important information superiority and information on local customer credit status, operating results to grasp more accurate.In the 21st century, on the third year of the existing financial policy has been adjusted, the introduction of advanced credit management, using a common international current, expired credit assets based on the five classification this classification is dynamic risk loans strict perspective of the borrower's repayment ability rigorous evaluation. This five-category classification method based on the risk from low to high are the losses, doubtful, substandard, attention classes and normal classes, of which the first three risky.HS Bank city commercial banks in the reform and development of our country, based on their distinctive "HS mode" to promote the continuous improvement of urban commercial banking system. HS Bank since its inception in 2005, through its continued exploration and development of local economic development has played a huge role in promoting. However, the current row is still in HS traditional credit business expansion period, the lower the level of depositor relationship management and risk control is not perfect, especially the internal control system still has many problems, the full implementation of the internal control system of the effect is not very good, managing non-performing assets is also need to improve.In this paper, on the basis of the definition and classification of non-performing assets of commercial banks on the introduction and analysis of the causes of bad assets HS banks, domestic and foreign banks and drawing on the experience of non-performing assets disposal, and gain enlightenment, and finally on the basis of these studies combining HS with its own characteristics and the actual situation of the bank, was proposed based on the perspective of management and prevention of non-performing assets to generate internal control, based on the analysis of specific issues, specific development strategies and measures, including the following aspects:strengthening internal control environment, establish and improve the safety and risk prevention system, establish credit the internal control system to improve monitoring capacity and strengthen the exchange of information. This study for HS banks, can improve its internal control system, improve the management capacity of non-performing assets, which serve the purpose of promoting the sustainable development of HS banks. Meanwhile, other commercial banks also have reference, we can also continue to improve our financial system related theories, which can continue to contribute to the achievement of financial development strategy.