Study On M Suburb Credit Cooperative Non-performing Loans Based On Internal Control

Non-performing loans has always been the real problem of all banking financial institutions can not be avoided.Non-performing loans continue to rise will occupy a large number of bank earning assets,lead bank passive loss reserving,erosion Bank net profit,cost bank human resources disposal of non-performing assets.Can be said that Non-performing loans directly affect the banking financial institutions credit asset quality and profitability.In recent years,M suburb credit cooperatives(hereinafter referred to as the union of outskirts of a city of M)the balance of non-performing loans increased year by year,especially in more than 10 million yuan non-performing loans continued to rise.The problem of non-performing loans have seriously restricted the outskirts of M sound operation and sustainable development.At the same time,it also undermines the ability to support local economic development.If the non-performing loan problem is not from the deep has been fundamentally resolved,M suburban association again hard development,even will in the increasingly fierce competition from the banking industry is eliminated by the local financial market.Therefore,this article from the actual situation of M Suburb Credit Cooperative,through the research and analysis of the problems found in the supervision of M Industry Association,makes a deep analysis on the typical case of bad loans to the internal control perspective,targeted to find out the existing problems in the management of the credit,and then puts forward the concrete solutions and for the effective the problem.Through the research,this paper argues M Suburb Credit Cooperative has poor internal control environment,risk assessment,failure of internal control measures ineffective,the exchange of information feedback and poor supervision and evaluation to correct deficiencies and other aspects of the five.Aiming at the existing problems in the internal control of M Suburb Credit Cooperative,made the following suggestions:first,to optimize the internal control environment:second,strengthen risk identification and assessment;third,strengthen internal control measures;fourth,the smooth exchange of information feedback;fifth,effective supervision and evaluation to correct;sixth,promote the reform of property rights.