Write-off of bad debts means that banks use bad debt reserves to write off loans or investments that can't be recovered for a long time after being confirmed by internal audit, so as to make the assets and income reflected in the books more real.

A sound bad debt write-off system is the requirement of accounting prudence and authenticity, and it is an important basis for objectively reflecting the bank's operating conditions and effectively resisting financial risks.

Bad debt write-off statement:

If the evidence of bank bad debts is conclusive and meets the prescribed conditions after examination, it should be reported at any time, approved at any time, and written off from the bad debt reserve in time. Banks shall not conceal non-reporting, long-term losses and cover up non-performing assets.