Research On Credit Card Non-performing Asset Securitization Of Bank Of China

In recent years,the non-performing loan balance of commercial banks in China has increased significantly,and the non-performing loan rate has also been growing.Commercial banks are facing greater non-performing loan pressure.Under the pressure of economic downturn,the disposal of non-performing assets has become the top priority for banks in risk control and asset liability management.The regulatory authorities encourage and support the pilot work of non-performing asset securitization market,which has great potential and is expected to become an effective way for commercial banks to dispose of non-performing assets.With the strong development of consumer finance and the continuous expansion of the retail business scale of commercial banks,non-performing credit card loans have become an important part of all kinds of non-performing loans in commercial banks.In2016,the commercial banks that obtained the first batch of pilot qualification in the restart of NPAs launched the issuance and exploration of NPAs.In March 2017,Bank of China Co.,Ltd.issued its first credit card NPAs Securitization Product "Zhongyu 2017 phase I " NPAs support securities.Therefore,the main research problems of this paper are: the current situation of the development of credit card non-performing asset securitization,how to apply the asset securitization theory to the business practice of Bank of China's credit card non-performing asset securitization,the advantages and disadvantages of "Zhongyu 2017 phase I" credit card non-performing asset-backed securities products,all of which deserve our in-depth study.Through case study and analysis,this paper first summarizes the current situation of China's credit card non-performing asset securitization business,and then analyzes the description of the Bank of China's credit card non-performing asset securitization products "Zhongyu 2017 phase I " from the perspectives of transaction structure process,capital pool and cash flow,credit enhancement and risk management.It is not difficult to find out: non-performing asset securitization It is gradually becoming an effective way for commercial banks to resolve the bad assets of credit cards.The design and issuance of the bad assets securitization products of credit cards of the Bank of China basically conforms to the relevant principles of asset securitization,and to a certain extent improves the current situation of the bad assets of credit cards of the Bank of China,but there are still some deficiencies that need to be improved.The innovation ofthis paper is to comprehensively and carefully sort out the current situation of the issuance of credit card non-performing asset securitization products in China,and combine the relevant principles of asset securitization with specific cases,so as to accumulate effective practical experience for China's commercial banks to use the non-performing asset securitization to resolve the non-performing asset of credit card in the future.There are 5 figures,24 tables and 52 references in this paper.