Research On Z Bank Credit Card Risk Control Strategy

At present,credit card plays an indispensable role in the economic development of China and affects the daily life of the public.With the continuous development of credit card business,there are varied risks in its management.In order to satisfy business development needs of credit cards,commercial banks should change from the experience-based risk control tactics to more scientific risk control tactics by applying multi-dimensional combination of experiences and methods as well as IT technologies and data analysis,while at the same time,establishing a risk control tactical system for credit cards,so as to improve competitiveness of credit card businesses.The thesis takes Z Commercial Bank as the subject,to analyze the status quo of its credit card risk management whereby commercial banks can further optimize the balance between profit and risk and further enhance the competitiveness of credit card business.The thesis is based on the introduction of concept,theories and documentations of credit card and its risk management.Then,after introducing Z Commercial Bank,the method of questionnaire is used to conduct a survey of credit card risk management status quo of Z Commercial Bank.Based on the results of the survey and its analysis,main problems of its credit card risk control tactics are identified as follows: a lack of thorough risk identification system,a lack of standard practices of risk audit before loan,a lack of rigidity in account management and a lack of efficiency in follow-up management when risks occur.After identifying those problems,the thesis further analyzes the causes of them including no classified management of customers,no professionals for risk management and control,and out-dated credit card management technologies.Then based on the existing problems and analysis,the thesis puts forward credit card risk control tactics from five aspects,namely,risk identification,pre-loan audit standards,dynamic monitoring during loan period,collection after loan and strengthened internal assessment.Then,optimal suggestions for credit card risk control tactics are given,including a pre-alarm for potential risks by the combination of traditional and big data risk identification,stricter pre-loan assessment including stricter qualification assessment process and higher threshold for credit card loans,strengthened dynamic monitoring with dynamic adjustments of credit lines and merchants in daily management,optimized credit card loan collection methods including collection of delayed loans and collection outsourcing.Finally,in order to improve risk management and control,the thesis puts forward measures,such as perfecting credit card management,strengthening risk management team construction and utilizing credit card information and data integration.