In the nearly two-hour interview, he did not make too many excuses for Weizhong Bank, but talked more about "reflection". He said that the "initial intention" of this business was good and solved the pain points of many people, but from the results, the original consideration was not enough. "In fact, we have a deeper obligation, especially from the perspective of consumer protection. We need to set higher demands on ourselves and even consider more extreme situations. "

86% of the rental loans have been settled, and a lot of "reflection" has been done recently.

CBN (hereinafter referred to as CBN): Weizhong Bank gave the final solution to the "eggshell incident" on February 4, 65438, that is, after the "rent loan" customer of Danke Apartment withdrew the rent, the prepaid rent owed by Danke Apartment was used to offset the customer's loan in Weizhong Bank, and then the bank settled the loan. So, how did this plan come into being? What does it mean for Weizhong Bank?

Gu Min: This is actually a debt repayment plan. For customers, it is the scheme that we can find to protect customers' rights and interests to the maximum extent under the premise of legal compliance. For Weizhong Bank, it is equivalent to giving up personal creditor's rights and becoming accounts receivable from eggshells.

As we all know, from "creditor's rights to individuals" to "accounts receivable to eggshells", the rights and obligations are very different, and the value of creditor's rights and repayment order are also very different. From this perspective, we have tried our best to cover all the risks.

In fact, from the beginning of the incident, we were prepared psychologically and economically to take the initiative to take risks, and also had close communication with all parties involved in the incident and studied the corresponding solutions. However, due to various factors, our initial idea was realized at the "last minute", which is actually a place we feel very sorry for.

CBN: How many customers have this scheme solved so far?

Gu Min: As of February 27th, 136 1 10,000 people have settled their rental loans, and the settled loan amount is13140,000 yuan, accounting for 86% of the settled amount.

CBN: You just mentioned that you have done a lot of "reflection" recently. Can you tell us about it?

Gu Min: Yes. Looking back, I think our "initial intention" in this matter is good, but there are indeed some problems in implementation.

When the product of "rent loan" was originally designed, in order to respond to the national policy orientation of "housing without speculation, living in a certain place", it was thought that young people in big cities would have greater pressure on deposits and rents, so I wanted to use this product to smooth the cash flow of young people. According to the truth, all bank loans have interest, but in order to alleviate the pressure on young people, the model we designed is that customers do not have to pay interest, and eggshells subsidize interest.

There are about 600,000 customers in the "rental loan", but before the "eggshell incident" broke out, there were about 1.6 million customers who were still lending. Strictly speaking, 3/4 customers have enjoyed the "rental loan" product and there have been no problems.

"Rent-and-loan" is one of the products of scenario finance, and we have also considered the risk control quite fully. At that time, considering that Danke Apartment is the head company of long-term rental apartment industry and a listed company with strong shareholder background, we chose it as one of our partners.

In terms of business model, we believe that the rental rate and rental price can bottom out through interaction. For example, when the occupancy rate cannot be maintained, it can be improved by reducing the rent, but the extreme influence of epidemic factors is not taken into account, that is, both of them drop sharply at the same time. Under normal circumstances, it will not happen, but the epidemic has made this happen.

Provision is sufficient to make up for the losses and develop towards "financial and scenario cooperation"

CBN: How much performance pressure will the "eggshell incident" bring to Weizhong Bank?

Gu Min: From the perspective of the whole market, this part of the risky assets of Danke Apartment is not large. Even if the losses are all reflected in this year, Weizhong Bank's financial report in 2020 will still be very stable, and we still have a relatively rich provision coverage ratio, with stable profit growth and low non-performing rate.

On the one hand, in the business segment of Weizhong Bank, the mature products "micro-loan" and "micro-loan" still occupy a large share; On the other hand, we have an "innovative business portfolio", which includes 20 and 30 parallel innovative sub-projects, and the scale of each sub-project is above 1 100 million yuan, and "rental loan" is one of them, ranking in the middle.

I think that since this is an innovative business, there are bound to be successes and failures. We have made enough preparations for this innovative combination to make up for the possible losses caused by some unsuccessful innovations.

In the past period of time, we found many places worth reviewing internally. For example, what kind of scene should we choose to cut into finance? Taking the long-term rental apartment industry as an example, this incident sounded the alarm. The whole society has no clear and unified understanding of tenants, owners and long-term rental apartment platforms involved in long-term rental apartments. For example, is Danke apartment the second landlord or the owner's agent?

Because there is no clear social understanding of the basic legal relationship and regulatory framework, once there is a problem in a certain link, all parties may have extreme behavior. Even if our initial intention is good, the ending may not be perfect. Therefore, when we choose scenario finance, we must consider whether the basic legal relationship and regulatory framework of relevant scenarios are sound.

Another key point is corporate social responsibility. In our specific business, we should not only meet the bottom line of legal compliance, but also put forward higher requirements for ourselves from the perspective of protecting consumers.

This "one head and one tail" is our deepest reflection. Weizhong Bank has indeed developed rapidly in recent years, but this incident also profoundly reminds us that there are still many shortcomings that need to be filled.

CBN: In the past year or two, Weizhong Bank has been exploring scenario finance and driving financial demand through scenarios. After this incident, will your scenario financial strategy change?

Gu Min: In fact, most of the daily financial needs are related to the scenes, especially the large financial needs. Therefore, we cannot "demonize" scenario finance because of the risks of a single enterprise.

The crux of the problem lies in the fact that in the past, the scene finance model was mostly "leading finance through scenes" rather than "cooperation between finance and scenes", so I think that in the future, our model should use more financial or banking services to assist the orderly development of scenes. At least, "finance" and "scenario" should be in a relatively balanced position, rather than "one-sided" scenario leading the development direction of the whole business.

Frankly speaking, after the "eggshell incident", we have some reflections and think that we may not be demanding enough of ourselves in some places. We have also carried out a lot of publicity internally. I hope colleagues will make persistent efforts, improve the requirements for business design, and consider some factors that protect consumers' rights and interests to better serve customers.

In addition, it is certain that our "innovative business portfolio" will continue to develop. Continuous innovation is also the gene of Weizhong Bank and the reason for our existence.