The Research Of Credit Risk Management Of County Banks Of Luoyang

In 2006, in the face of the rural financial problems, the China banking regulatory commission issued "on the adjustment better ease rural banking financial institutions access policy support of the new socialist rural construction", aims to set up the villages and towns in rural Banks, funds and loan company, rural financial institutions, such as a support to improve the rural financial service, solve the problem of rural financial supply and demand imbalance, support the development of rural economy. These financial institutions include village Banks, rural commercial Banks, capital support, loan companies, etc. The county Banks is established in the rural areas, mainly in the service of the local farmers and small miniature enterprise of rural financial institutions. Rural financial market in China has been in a state of imbalance between supply and demand, slow development, with the speeding up of the rural urbanization, the imbalance between supply and demand is increasingly prominent. Policy since 2006, village Banks sprang up all over the country, become the new force of support for the rural financial development.As a new type of rural financial organization, the county bank is governed by its own hardware, software and environment, which results to that it is generally only able to deal with traditional financial operations such as deposits, loans and clearing. Only by the spreads can it keep profit growing. So simple and quick credit business become the principal means and business highlight for county bank to participate in competition, attract customers, move liabilities, develop settlement business. However, the main risk faced by most of county banks is credit risk which dues to lagged construction of credit risk system, lack of credit risk management tools, backward skills and means. The problem county banks need to in-depth study and explore is how to gradually strengthen controls for credit risk from basic system construction of county banks credit risk management. Based on this, this paper elaborates some viewpoint on basic system construction of county banks credit risk management.