According to the information on the website of the China Banking and Insurance Regulatory Commission on July 7, the "Notice on Further Promoting the Standardized and Healthy Development of Credit Card Business" (hereinafter referred to as the "Notice") recently issued by the China Banking and Insurance Regulatory Commission and the People's Bank of China proposed to strengthen the dynamic monitoring and management of sleep credit cards, and the number of long-term sleep credit cards. The proportion shall not exceed 20%; the highest annualized interest rate level shall be displayed to customers in an obvious way; model innovations such as online credit card business will be explored through pilot methods.
Industry insiders believe that the "Notice" is a comprehensive regulation of my country's credit card business, which will promote the credit card business from the extensive development stage of "race to the ground" to the high-quality development stage of specialization, differentiation and refinement.
Strengthen the dynamic monitoring and management of sleep credit cards
In recent years, the credit card business of my country's banking financial institutions has developed rapidly. However, in the recent period, some banking financial institutions have extensive business concepts, poor service awareness, inadequate risk management and control, and behaviors such as harming the interests of customers.
"In recent years, many banking institutions have been actively transforming into retail, and credit cards are generally used as the entry point and focus." Zeng Gang, director of Shanghai Finance and Development Laboratory, said, but in the process of business development, there have been problems based solely on the number of cards issued and the number of customers. Indicators are used as the management mode of assessment, and there is a lack of scientific assessment mechanism and incentive mechanism, which leads to short-term business.
The "Notice" requires that banking financial institutions shall not directly or indirectly use the number of cards issued, the number of customers, market share or market ranking as the single or main assessment indicators; it is required to strengthen the dynamic monitoring and management of sleep credit cards, and no customer has taken the initiative for more than 18 consecutive months. The number of long-term sleep credit cards with current overdraft balance and zero overpayment account for the total number of cards issued by the institution shall not exceed 20% at any point in time, except for credit cards with additional policy functions.Banking financial institutions that exceed this ratio shall not issue new cards.
According to the person in charge of the relevant department of the China Banking and Insurance Regulatory Commission, since the release of the draft for comments last year, many banks have taken action in accordance with the regulatory requirements, and the long-term sleep card pressure reduction work has achieved certain results.It should be reminded that the rights and interests of the cardholders must be fully protected during the process of voltage drop and clearing the sleep card.
Reasonable determination of credit card interest rates
"The credit card business is often the 'hardest hit area' that various banks have been complained about." Zeng Gang said, on the one hand, it is related to the large customer base and large transaction volume of the business, but on the other hand, the price information is not clear, the key elements are not prominent, and the collection management Irregularities and other circumstances also cause credit card business to be easily complained by customers.
In terms of interest collection and information disclosure, the "Notice" requires banking financial institutions to strictly perform the obligation of reminding or explaining the contents of interest, compound interest, fees, liquidated damages and other terms and risk disclosure when entering into credit card contracts with customers, and Show clients the highest APR level in an obvious way.
The "Notice" requires banking financial institutions to scientifically and reasonably determine the level of credit card interest and fees in accordance with market-oriented principles, under the premise of compliance with laws and regulations and effective risk coverage, effectively improve service quality and efficiency, and continue to take effective measures to reduce customers' interest and fee burdens.
For some banking financial institutions, the credit card business cooperation behavior is not standardized, the management and control are not in place, and the boundaries between the rights and responsibilities of the two parties are unclear. Standards and procedures, the core business links of credit cards shall not be carried out through the Internet platform controlled by the cooperative institution, and the credit card issuance volume and credit balance realized by a single cooperative institution shall meet the concentration index limit.
Regarding the co-branded card business, the "Notice" prohibits banking financial institutions from exercising credit card business responsibilities directly or in disguise by the co-branded entity.
The above-mentioned person in charge emphasized that the operating entity of the co-branded credit card should be a commercial bank, and the co-branded unit only provides some non-financial rights and interests based on its main business.A co-branded entity shall not turn itself into a credit card operator through a co-branded card.
Launching a pilot online credit card business
The "Notice" encourages qualified banking financial institutions to actively adapt to economic development and the upgrading and changes of consumers' financial needs, and in accordance with the principles of controllable risks, soundness and order, to explore and carry out model innovations such as online credit card business through pilot methods, so as to stimulate and shape new models. The development momentum and vitality of the credit card, enrich the credit card service functions and product supply, and continuously enhance the people's sense of acquisition, convenience and security when using cards.
Gao Feng, chief information officer of the China Banking Association, believes that the key to developing an online credit card business lies in remote interviews.Remote face-to-face interviews are an effective means to enhance customer experience and improve bank operational efficiency.The pilot program of online credit cards should do a good job in the selection of target customers, remote video technical support and online business process control.
Gao Feng said that in terms of target customer selection, priority can be given to existing debit card customers and customers with real consumption needs in consumption scenarios; in terms of remote video technology selection, in order to avoid audio and video risks, operations can be locked. On the bank app; in terms of online business processes, while leveraging face recognition and online verification, it can assist necessary manual customer service (remote tellers) and customers to conduct online card application and identity verification.
(Editor in charge: Hua Qingjian)
