Consumer Credit Risk Management In Commercial Banks In China

The consumption credit is a kind of financing activity which stemmed from Britain in 1620s. Its development profited from the consummation of the direct financing market. The western bank got a big amount profit by engaging in this business.In our country, the consumption credit is an important credit way to get the consumption market in gear and to expand the domestic demand. The consumption credit of our country started from 1990s,but it developed very fast, by the end of 2005, the amount of consumption credit got to the 170 billion yuan, its growth rate is 50% per year, the growth rate of housing consumption credit is 58% per year, the growth rate of automobile consumption credit is 40% per year. The business of consumption credit is paid great attention by commercial bank of our country and it will be the rising point of expectation profit.The consumption credit has its characteristic whose risk is indefinite. At the same time, our commercial banks are lack of risk management experience of consumption credit. Lastly, the deficiency of individual credit is a problem that will increase the risk of the business of consumption credit of commercial bank. So it is important to research how to manage the risk of consumption credit of commercial bank in our country.The construction of this paper as follows: Chapter 1, general introduction of consumption credit and its current situation in our country; Chapter 2, analyze the type of the risks and the current risk situation in our country; Chapter 3, analyze the reason of causing the consumption credit risk; Chapter 4 and Chapter 5, put forward the main thinking of manage the consumption credit risk, including standardize the internal management of commercial bank and establish a better social circumstance.