There are three main credit management modes of rural commercial banks, namely, the lifelong responsibility system of self-release, self-collection and self-management, the separation system of loan approval and the three-separation system of complete separation of front, middle and back offices.
The traditional lifelong responsibility system has played a very good role in promoting the development of rural commercial banks in a certain period of time, but with the rapid increase in the number of customers and loan quotas, the disadvantages of lifelong responsibility system have become more and more prominent.
First, it hides moral hazard. Self-release, self-collection, and self-management mode can easily hide moral hazard.
Second, artificially increase non-performing loans. Due to the different personal risk preferences of account managers, when account managers rotate, when risk avoiders or risk neutrals take over the risk of risk pursuers, some existing customers are often refused loans or pressed for loans, which will easily lead to some customers refusing to repay, thus forming non-performing loans.
Third, it limits the enthusiasm of account managers. At present, the performance appraisal orientation of rural commercial banks generally tends to be incremental, with high incremental pricing standards and relatively low stock pricing standards. When the stock of the account manager reaches a certain amount, the daily management and guarantee have taken up a lot of time, and it is very difficult to generate new sales.
This will lead to the situation that the income of some account managers with more balances is lower than that of account managers with less balances, forming an "assessment paradox" and damaging the marketing enthusiasm of account managers with more balances.
Fourth, it restricts the sustained and healthy development of the business. When the account manager's loan reaches a certain amount, he and the organization will be worried about the quality of the loan, and individuals are likely to have the idea of compressing and waiting for retirement.
Fifth, it increases the psychological burden of account managers. Under the lifelong responsibility system, there is no due diligence exemption mechanism. Once loans overdue becomes a bad debt, the account manager will bear the relevant responsibilities until the loan is recovered, which leads to great psychological pressure on the account manager.
The separation of loan examination and approval refers to a credit management system that separates the adjustment and approval links in the process of credit business handling, and is undertaken by different levels of institutions and different departments (posts) to realize mutual restraint and give full play to the professional advantages of credit approvers.