Research On Credit Risk Prevention Of N Bank Small Loan Center

As a local city commercial bank in Ningxia,N bank was approved by CBRC and established the first small and micro businesses loans institution-small enterprise credit center-in northwestern area at November 26,2009.(Hereinafter referred to as the "small loan center").At the end of Dec.2016,this center has so far issued 18399 loans,which equaled to value of 95.46 million yuan,had the balance of 14.27 billion yuan,and had the 2.74%reject ratio.With the rapid development of small loan center of N bank,the adverse rate increased from 0%,which was at the beginning,to 2.74%.This change of reject ratio has exposed the management risks of the credit business of Small and micro enterprise,such as incomplete risk management mechanism,and faulty final-period management.It is a big challenge for the development of N bank about how to improve the risk management measure for small and micro enterprise credit business.This paper mainly uses the literature research method,comparative analysis method and case analysis method.Based on the research of domestic and international credit risk management theory,this paper will further analyze the credit business development and risk management situation of the N bank's small and micro enterprise.For example,it will understand the existing problems in credit business.From the study I found that the problems of risk management in N bank small loan center were various,which mainly in imperfect risk management mechanism,simplex credit products,unsubstantial credit information system,lower level of human resources management and the lack consciousness of risk management culture.This paper will focus on these problems mentioned above;combine with credit risk management methods of other banks' small and micro business,compare and summary investigation technology of small micro credit,to give suggestions and countermeasures.These suggestions include six aspects that including the specification of the credit process,perfection of risk control system,innovation of product system,enhancement of the construction of information system,improvement of the level of human resources management and strengthen risk management culture.It will not process the risk management of small and micro business efficiently,until resolve the defects of the small loan center of N bank itself.And it also cannot perfect the risk management system,until we seize the pain point of risk management of small and micro business.I hope that the suggestions and countermeasures can help to upgrade the level of risk prevention of N bank small business credit center.