In the third quarter of this year, the China Banking Regulatory Commission conducted a comprehensive inventory of unreasonable charges of bank insurance institutions, and standardized the cooperation between banks, insurance companies and third-party institutions. Key areas include small and micro enterprise credit and manufacturing loans.
According to the reporter of "China Business News", due to the high financing cost of bancassurance microfinance, many consumer complaints, and the transfer of risks by commercial banks, this business has been strictly restricted by supervision. At present, many banks have stopped. The market is quite controversial about this. It is believed that a group of customers with relatively poor qualifications will find it difficult to obtain bank credit funds, and they will face higher financing costs.
Yin Bao United loan
Based on the requirements of inclusive finance, commercial banks have been increasing the availability of funds for customers, but it is still difficult to reach the credit threshold for a group of customers with poor qualifications. Therefore, some banks have launched the innovative product of "bancassurance microfinance".
The so-called "bancassurance micro-loan" means that loan customers increase their credit by purchasing insurance when their credit is not up to standard. After commercial banks lend money, insurance companies will underwrite customers' credit default.
"The bank's loan interest rate is not high, only about 7% per year. The insurance company's rate is about 14% of credit funds, which makes the overall financing cost annualized by more than 20%. " A person from a joint-stock bank revealed.
He said that this business has been carried out for several years, and most of the customers have flawed qualifications and small credit lines. "The bank-insurance cooperation, the bank's income is not particularly high, the insurance rate is obtained through actuarial, so there is no problem. However, the total cost of financing is high. "
According to him, due to the high default rate, high total financing cost and a few more complaints, this business has attracted the attention of the regulatory authorities. "In inclusive finance, supervision continues to require banks to lower interest rates to reduce the burden on enterprises, and this business has become a negative example."
In September this year, in the action of the China Banking Regulatory Commission to clean up the unreasonable charges of bank insurance institutions, "bank insurance microfinance" entered the regulatory field of vision. In the supervision tips issued at that time on regulating the business cooperation between joint-stock banks and third-party institutions in the credit field, the supervision mentioned that some banks did not bear credit risks but charged high fees, and the risk approval was ineffective and became a channel for providing funds.
"Commercial banks are institutions that operate risks. If the bank passes on the risk, it may be considered as only the provider of funds, which is contrary to its business philosophy. " A person close to supervision believes.
He said that in the face of credit and sinking customers, banks need to improve their risk management and control capabilities, screen customers and reduce the cost of obtaining customers. "Transferring risks through the cooperation model has not reduced the burden on enterprises, nor is it the original intention of supervising the implementation of inclusive finance."
"The scale of bancassurance microfinance is actually not small, which is related to market demand. Some small and medium-sized enterprises do not meet the threshold of bank loans, but the demand for funds is strong. Banks also want to incorporate it into the lending system through bank-insurance cooperation, which is not a bad thing for enterprises. " The person in charge of a stock bank in East China said.
"The bad performance of direct bank loans may be very high." He believes that the financing cost is directly proportional to the risk, and the premium obtained by insurance companies through actuarial calculation matches the default situation.
After the "stop"
Due to the regulatory notice issued by the China Banking Regulatory Commission, a number of joint-stock banks have stopped "bancassurance microfinance" one after another, while some local banks have shrunk this kind of business.
On May 25th this year, the CBRC, together with the Ministry of Industry and Information Technology, the Development and Reform Commission, the Ministry of Finance, the People's Bank of China and the General Administration of Market Supervision, issued the Notice on Further Standardizing Credit Financing Fees and Reducing the Comprehensive Financing Cost of Enterprises (hereinafter referred to as the Notice). The "Notice" clearly requires that the credit enhancement arrangement be reasonably introduced, and the fee shall not be forcibly transferred.
The notice pointed out that the burden on enterprises should be reduced from two aspects: credit enhancement and internal assessment. Due to the lack of sufficient collateral, most small and medium-sized enterprises generally raise funds from banks by introducing credit enhancement measures such as guarantees, but this also increases the financing cost accordingly. If some unreasonable requirements are added, the cost of this link may be pushed up.
The circular clearly requires banks to reasonably introduce credit enhancement arrangements. The expenses independently borne by the bank shall be fully borne by the bank; The expenses borne by the enterprise and the bank shall not be passed on to the enterprise by force or contract; Banks, insurance companies and financing guarantee companies should take measures to minimize the expenses independently borne by enterprises. Banks may not force enterprises to buy guarantee insurance, and may not be exempted from their own risk management and control responsibilities because enterprises buy guarantee insurance.
"Due to the risk-taking role of the insurance company in the business, the company's insurance fee is calculated according to the default rate, which is close to 15%, but this is regarded as unreasonable by the supervision." The above-mentioned stock bankers said that this may also have a lot to do with complaints.
The source told reporters that the bank had suspended such loans at the end of September and terminated relevant cooperation with insurance companies. The stock products are still running as agreed, and are not affected for the time being. But the key question is, what about this group of customers with poor qualifications in the future? Banks will also worry about high bad debts when granting credit separately.
In fact, there are some controversies in the market about the suspension of "bancassurance microfinance". For banks, under the guidance of supervision, there may be only one product missing, but the customers corresponding to these products may be more difficult to finance.
"Banks don't do these people's business, they go to microfinance companies? Be a usurer? It's hard to say. At least the financing cost of usury is definitely higher than the annualized 20%. " A market person said.
He believes that the policies of supervision in reducing the burden on enterprises, lowering the financing interest rate and reducing the additional cost of financing are very beneficial to enterprises. However, the availability of funds for enterprises is the first, followed by financing costs. "The best result is that both banks and insurance companies can make profits, or banks can directly bring customers with poor qualifications into the loan system instead of directly stopping selling products."
"Banks may also develop a series of products through innovation to minimize the burden on enterprises and meet their capital needs." The above-mentioned stock bankers said that these products need to be designed according to a class of customers with the same characteristics, and the coverage of inclusive finance is definitely much wider than before.
(Article Source: China Business Network)
(Editor: DF524)
Solemnly declare: the purpose of publishing this information by Oriental Fortune Network is to spread more information, which has nothing to do with the position of this website.