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How to deal with bad debts of credit cooperatives
The bad debts of credit cooperatives are handled in two ways: "plug-in domestic sales" and "formal sales but not sales".

The method of "1": 1983 The bad debts formed by loans issued after the beginning of the period are transferred from the original loan account to the "087 loan bad debt account" after examination and approval, and accordingly transferred from the special fund account to the "086 loan bad debt fund" account to make provision for bad debts of the same amount.

2. The method of "plug-in for domestic sales", that is, the bad debts formed by loans issued before the end of 1982 and loans confirmed as dead accounts, can be directly written off against the bad debt reserve after approval, and the write-off amount is reflected in the off-balance-sheet account of "bad debt write-off".