In recent years, with the rapid development of consumer finance, fintech has gradually gained popularity and recognition in the finance-related industry. More and more traditional banking institutions have also begun to cooperate with fintech companies to improve their business capabilities in all aspects.
?
Since the Spring Festival, due to the national "anti-epidemic", bank outlets can not even a month of normal business, some account managers in this period frequently send a circle of friends to publicize the use of their own App for business, in fact, this is also a microcosm of the fintech to help the banking industry.
In the field of consumer finance, online personal credit business can be a certain degree of representation of the bank's financial technology capabilities. Compared to the intelligent post-loan collection robots, which are far from being a substitute for human beings, the personal credit business has long been realized under the auspices of fintech as a purely online review and release of funds, without human intervention.
Personal credit online trend is obvious, the joint-stock banks lead the industry
?
Although online personal credit is completely free of technical obstacles, there is a big gap between the level of banks, and the current outbreak can just make the major banks to re-examine and assess their own fintech success.
?
Due to the special positioning of Internet banks, private banks, direct selling banks, and usually do not have widely distributed physical outlets, they were born with their own fintech genes, and online credit is the basic business, today we mainly look at the traditional banks.
?
Six major banks
?
It is understood that the Bank of China does not have a purely online personal credit business. We saw a product called Bank of China E Loan in a relatively obscure location in the Bank of China app, which shows waiting for a customer manager to contact after submitting simple information.
?
The account manager told us that the product was only open to civil servants, doctors, teachers and payroll quality customers, and that the branch needed to whitelist employees from these organizations before they could apply.
This mechanism is prone to the problem of omission or untimely updating of the list, however, the account manager said , the business is actually carried out very little, and has recently suspended applications.
?
Construction Bank of China's online personal credit products is fast e loan, also using the white list system, mainly for civil servants, the Bank's mortgage customers, in the Bank's deposits more customers.
?
Postal Reserve Bank has more loan products, and the only online personal credit product is the Post Home Loan, which is only for the Bank's old mortgage customers.
?
In contrast, the online personal credit business of the Bank of Communications is a bit more mature, and its Huimin Loan went online in October 2017, and although the approval conditions are also more stringent, there is no longer a strict restriction on the clientele. However, it should be noted that another identity of the Bank of Communications is the first national joint-stock commercial bank in China.
?
Overall, except for the Bank of Communications, the online personal credit business of the six major banks is developing slowly and there is no obvious sign of transformation. A CCB source told us that they have very strict control over loans, and many things are restricted within the company. However, we believe that the lack of attention to this type of business should also be one of the reasons why it is difficult to see an upturn.
?
National joint-stock commercial banks
?
National joint-stock commercial banks lead the domestic traditional banking industry in the field of online credit. Among them, Guangfa Bank launched the E-second loan as early as July 2015, which is the industry's first bank personal credit product open to the whole society, online application and instant approval, while the domestic fintech industry was still in its infancy at that time.
?
It is understood that among the 12 national joint-stock commercial banks, only Citic Bank and Zheshang Bank do not have online personal credit products.
?
CITIC Bank set up a network banking department at the end of 2012 and put forward the goal of "recreating an online CITIC Bank", but from the point of view of the online personal credit business, CITIC Bank has lagged far behind its competitors.
?
In addition, Hengfeng Bank, Bohai Bank and other institutions of the relevant products with the Bank of China, CCB, the same as the adoption of the white list system, the openness is not enough.
?
City merchant banks and agribusiness banks
?
In recent years, major city banks have been actively exploring and laying out the field of consumer finance, generally taking the form of cooperation with various types of lending institutions and Internet giants, but due to policy constraints and other reasons, city banks lagged behind slightly in terms of self-owned products.
?
For example, the online personal credit products of Bank of Chongqing and Bank of Ningbo are still using the traditional authentication method of uploading ID photos; the Express Loan launched by Bank of Shanghai is only for the bank's credit card users and is on an invitation basis; the eXpress Loan of Shengjing Bank is also only for specific users; and the Rooster Loan of Hangzhou Bank needs to be signed offline after the online audit is passed.
?
Larger city banks like Tianjin Bank don't even have online credit products, while Bank of Beijing's related products have recently suspended applications.
?
It is worth mentioning that Bank of Nanjing's Hello eLoan, which is only available to users in Jiangsu, Shanghai, Hangzhou and Beijing, does not have many requirements or restrictions except for the payment of provident fund.
?
In addition, a large number of agribusiness banks are also actively engaged in personal credit online transformation, but due to less user coverage, service area is limited, only individual asset size, strong institutions will make the service of the whole country online personal credit products, such as Shanghai Agricultural and Commercial Bank of China launched Xin e loan.
?
Overall, it has been more common for banks to launch online personal credit services, and they are still improving. For example, the personal loan manager of Hangzhou Bank told us that their credit products will certainly be upgraded to purely online in the future, to solve the current inconvenience of needing face-to-face signatures.
Online is just the foundation, fintech should not stay in the concept
?
It's important to note that there is a world of difference in the fintech content between banks, even if the business is online personal credit.
A lot of banks are just paperless offline lending business, the original work done manually to the system to deal with, some banks even need to manually intervene in some processes, the similar business or products advocated as fintech is obviously a bit of a misnomer.
?
For example, the aforementioned Bank of China, China Construction Bank, Hengfeng Bank, and Bohai Bank have adopted a whitelisting access mechanism, which strictly limits the target audience to a few extremely high-quality industries, while the loan products themselves face almost the same audience compared to the original ones, and the auditing standards are not much different.
?
Which the construction bank's fast e loan as early as 2014 on the line, when there are only four or five domestic licensed consumer finance companies, the Internet consumer finance industry is still in its infancy, fast e loan has been at the forefront of the industry.
?
At the end of 2014, the relevant person in charge of CCB said that although the current target customer base of the product is mainly the stock of customers, but the fast e loan as an Internet financial products, is an open platform, CCB will follow up through the continuous mining and analysis of data, and constantly expand the coverage of eligible customers.
?
But in fact, fast e loan this product perfect interpretation of the "early in the morning to catch a late episode", the development of nearly six years is almost in place, so far has not been completely out of the circle of the CCB, it is a lot of latecomers to catch up.
?
The development of financial technology to today, the changes brought to the online business has long been more than just a replacement for manual labor, improve work efficiency so simple, and should be the use of big data, artificial intelligence and other technologies more extensive customer acquisition, efficiently complete a more reasonable risk pricing.
?
To do this, only rely on the central bank credit data, government data, court data and other conventional data information is obviously not enough, but also need to cooperate with other credit companies, big data companies, financial technology companies to enrich the data source.
?
For example, Bank of Communications cooperates with Beijing Jio Polymerization Technology Co., Ltd, China Chengxin Credit Rating Co., Ltd, Pengyuan Credit Rating Co., Ltd; Everbright Bank cooperates with Koala Credit Rating Service Co.
?
It is worth noting that the legitimacy of the data source and authorization to use the process is very important, for example, the domestic well-known risk service provider with the shield technology in September last year after the investigation, a lot of banks in the compliance pressure to cancel the cooperation with it, and not even a lack of Pudong Development Bank and other well-known banks, the company's business has been seriously affected. Of course, the individual currently active credit bureau does not mean that there is no problem.
On November 20, 2019, the CCTV program China Financial Report exposed that Koala Credit had been suspected of illegally providing ID card return inquiries for more than 98 million times, making a profit of 38 million yuan, and more than 20 people involved in the case, including legal representatives and the chairman of the board of directors, were arrested. The program also mentioned that Koala Credit has illegally cached citizens' personal identity information in the process of providing services.
?
As of now, 10 banks have set up fintech subsidiaries, which should be the most direct way for traditional banks to emphasize fintech. I believe that in a few years, banks can play a more important role in the field of financial technology, and the consumer finance industry can usher in the era of blossoming.
Warm reminder: Due to the different policies of banks around the world, the content is for reference only
.