Chengdu Rural Credit Cooperatives Of Bad Assets Disposal Problems

It’s a long-standing problem to settle the non-performing assets of rural credit union, which was combined with years’accumulation and new ones born from self-operating before and after system-change. As time goes by, the settlement of non-performing assets becomes more and more difficult. For most of the rural credit union, it is a must to settle the non-performing assets and also a tough problem.The non-performing assets are both the burden and the resource during the process of rural credit union reform and development. To Rural Credit Union, the settlement of non-performing assets is not only a challenge, but also a chance. It is one of the basic factors that will affect the operation and core competitiveness. Strong competitiveness calls for a positive settlement on non-performing assets.This paper recalls and summarizes recent years’work on settlement of non-performing assets of Chengdu Rural Credit Union, analyzes the ways of settlement and gets much experience and lessons. It tries to find out novel and operational methods that can improve the efficiency of settling the non-performing assets. And finally, it provides some usable results for tackling non-performing assets, neutralizing the financial crisis, enhancing the operating and management level.This paper is comprised of six parts.Part one introduces the background, significance, main content, research method and the innovation of the paper.Part two is a summary of settling non-performing assets. First of all, it introduces the definition, character and classification criterion of non-performing assets. Secondly, it analyses the impact of non-performing assets on bank operating, credit scale and financial system. Lastly, it focuses on the importance of settling non-performing assets on the reform of rural credit union and social economy.Part three analyses the current condition and the reasons for non-performing asset of Chengdu Rural Credit Union. At first, it introduces the history, basic condition. Secondly, it introduces the origin of deepening rural credit union reform, the reform pattern, and the effect of non-performing assets on rural credit union reform. Finally, it introduces current condition of non-performing assets of Chengdu Rural Credit Union and analyzes the reason of non-performing assets.Part four:the practice of settling non-performing assets of Chengdu Rural Credit Union. Firstly, it introduces the purpose and principle of settling the non-performing assets in Chengdu Rural Credit Union. Secondly, it introduces the experience of settling non-performing assets in other domestic rural cooperative financial institution. Thirdly, it introduces the thoughts and practice of settling the non-performing assets in Chengdu Rural Credit Union. Fourthly, it introduces the operational means of settling the non-performing assets in Chengdu Rural Credit Union, involving several main settlement means. Fifthly, it introduces the process and example of settling the non-performing assets in Chengdu Rural Credit Union.Part five:problems that need to be focused on during the process of non-performing asset settlement. First, the stimulating and restraining system should be established and completed during the process of non-performing asset settlement. Secondly, the means of non-performing asset settlement should keep being innovated. Thirdly, the new non-performing assets should be prevented.Part six:conclusion. It makes a conclusion of the paper, and emphasizes the importance of non-performing asset settlement, the thoughts of keeping solving the non-performing assets of Chengdu Rural Credit Union. And it points out the restriction and promoting orientation of this paper.At present, the non-performing asset problem of Chengdu Rural Credit Union is a popular phenomenon in domestic rural credit union. This paper made a full-range analysis and research on the problem of non-performing assets of Chengdu Rural Credit Union. This provides not only the thoughts for further research, but also the decision reference to settle the same problem for financial supervising authority and rural credit union in other area.