Credit cooperatives are collective-owned cooperative financial organizations with independent accounting, self-financing, self-management and self-risk. Loans must be borrowed and repaid, and no unit or individual has the right to exempt borrowers from repayment responsibilities.
Two, write off non-performing loans to implement the relevant policies of the state, safeguard the legitimate rights and interests of credit cooperatives, minimize the loss of tangible or intangible assets of credit cooperatives.
Three, write off bad loans should adhere to the principle of seeking truth from facts, in strict accordance with the examination and approval authority and write-off procedures. Article 4 Conditions for determining non-performing loans.
1. Non-performing loans refer to loans that cannot be recovered according to the borrower's solvency or legal provisions. In any of the following circumstances, it can be classified as bad debts:
(1) Loans that are declared bankrupt, cancelled or dissolved by the borrower and the guarantor according to law, and are still outstanding after repayment.
(two) collective agricultural loans that cannot be implemented to households and the collective economy is really unable to repay; Or a loan that does not meet the conditions specified in the preceding paragraph, but is determined by the relevant department that the borrower and guarantor are actually bankrupt, cancelled or dissolved for more than 3 years, and cannot be repaid after repayment.
(3) The loan that has not been paid off after the borrower's death, or the loan that has been declared missing or dead according to the General Principles of Civil Law of People's Republic of China (PRC), and there is no heir to bear his debts and pay off his property or inheritance.
(four) the borrower suffered a major natural disaster or accident, and the loss was huge and irreparable, and it was really unable to repay part or all of the loan; Or the loan that has not been paid off after insurance compensation and asset liquidation and the guarantor bears the economic responsibility.
(5) If the lender is punished according to law for violating the criminal law, and the property disposed is not enough to repay the loan owed, and there is no other debt commitment, the loan that cannot be recovered is confirmed.
(6) The amount obtained by the lender from disposing the loan collateral and pledge according to law or the amount after pricing is not enough to offset the mortgaged or pledged loan.
Two, all of the following circumstances shall not be classified as bad debts:
(a) the borrower or loan guarantor has the ability to repay the loan economically, but due to various reasons, he can't repay the loan on time;
(two) the part of the loan that cannot be recovered due to the dereliction of duty or other illegal acts of the credit cooperative staff, and the part that should be borne by the individual according to the administrative, economic and legal responsibilities. Article 5 The authority to examine and approve the write-off of bad debts.
The examination and approval authority for the write-off of bad debts shall be determined by the administrative departments of credit cooperatives in all provinces, autonomous regions, municipalities directly under the Central Government and cities under separate state planning in consultation with the State Taxation Bureau at the same level. Article 6 Procedures for write-off of bad debts.
First, it is verified by the credit union. Credit cooperatives (including their branches) should verify the write-off of non-performing loans one by one. For those who meet the requirements of Article 4, directors, loan officers, accountants and auditors shall collectively review and confirm, fill in the Approval Form for Write-off of Bad Loans of Credit Cooperatives (see Annex 2), and write a written report (including: loan issuance and borrower's use, analysis of the main causes of bad loans, responsibilities and lessons of relevant personnel, etc.). )
Two, the county association that verification procedures. The credit society regularly copies all the loan lists that meet the conditions of bad debts, writes detailed instructions, and reports them to the county association. After the competent personnel of credit, accounting and auditing organized by the county association are examined and identified one by one according to the provisions of Article 4, the credit cooperatives are notified to fill out the Approval Form for Write-off of Bad Loans of Credit Cooperatives and submit relevant certification materials. Credit cooperatives shall handle accounts according to the notice of write-off of bad debts from higher management departments.
Three. Procedures for writing off bad debts by trade unions. At the beginning of the year, the county association determined the total amount of bad debt reserve in the county (city) according to the proportion of the loan balance of the credit cooperatives within its jurisdiction, and then decomposed and extracted the amount to the agency according to the principle that the amount of bad debt loans to be written off by each agency and the amount to be written off by the loss-making agency in that year. Credit cooperatives withdraw bad debt reserves according to the withdrawal amount issued by the association, and all of them are withdrawn in the association. In the middle of the year, the credit cooperatives will make a list of non-performing loans that meet the conditions for write-off, fill in the Approval Form for Write-off of Non-performing Loans of Credit Cooperatives, and submit relevant explanatory materials to the Association. After examination and confirmation by the credit cooperatives, the same amount of bad debt reserve shall be withdrawn for the write-off of bad debts of the credit cooperatives at the same time of approval for write-off.
Among the above three verification procedures, the first two are selected by the county association according to the management of credit cooperatives and implemented within the county jurisdiction, and the third is implemented after the approval of the provincial credit cooperative management department and the State Taxation Bureau at the same level. No matter what kind of write-off procedure is adopted, if it is beyond the examination and approval authority of the county association, the county association shall submit a written report (with the approval form for the write-off of bad debts of credit cooperatives and relevant supporting materials), which shall be submitted to the higher management department for examination and approval after being audited by the State Taxation Bureau at the same level.
After receiving the application materials from the subordinate units, the competent departments at all levels shall organize credit accounting and auditing departments to jointly review each case, and write a report accordingly, which shall be approved after being signed by the leaders of the competent departments, and the approval results shall be copied to the State Taxation Bureau at the same level for the record.