A Study On Controling Risks Of Credit Card Business In China's Commercial Banks

As a high-profit product, bank card has become the very important income resource of service business in foreign banks. Now that the income of banks'traditional business has been reduced, service business is regarded as the new profit point exploited by foreign banks. However, in recent years, many affairs on risks of credit card business occur continuously in a lot of countries. In November of 2003, Korea's credit card crisis caused a number of banks to bankrupt this business. In June of 2006, American credit card customers'information were gone out. Chinese commercial banks'credit card business annually suffer from important loss either. With the further development of Chinese credit card business and the threatening caused by furious competition of foreign banks, economists and bankers put their eyes on how to use foreign advanced experience and technologies for reference efficiently and set suitable technology system of controlling risks to promote Chinese banks'credit card business healthily develop. Therefore, it is significant of setting perfect system of risk controlling and mine high-efficient technologies to control the risks of Chinese credit card business by analyzing the causes of the business'risks.Firstly, after summarizing the basic theories on controlling risks of credit card business, according to the existed risk categories and characteristics in credit card business, this thesis analyzes macroscopical and microcosmic causes that cause Chinese commercial banks'credit card business to face risks. Then, it separately studies successful experiences on controlling risks of credit card business in American, Japan and Australia. Meanwhile, it draws a lesson from Korea's credit card crisis. at last, the thesis puts forward improved and suitable risk controlling frameworks and methods in terms of banks and customers. In terms of banks, Chinese commercial...