The installment default rate of China Merchants Bank jumped to 4.25%.

as we all know, most customers of bank credit cards have good credit and low risk, and the installment business for these customers is also favored by major banks. However, affected by the new cash loan policy, P2P thunder storm and mutual debt risk, the risk of credit card installment business is indeed rising rapidly.

Mutual business comments noted that China Merchants Bank's "Hexiang 217 Phase I Personal Consumption Loan Asset-backed Securities" recently disclosed the 18th report. The report shows that from August 31, 217 to January 31, 219, the cumulative default rate of its asset pool has risen rapidly to 4.25%.

As can be seen from the above figure, after July 218, the cumulative default rate of installment business of China Merchants Bank increased rapidly, doubling from 2% to 4.25% in half a year, with an average monthly increase of .4%. The credit rating report shows that the trust product will pay off all the principal in May 22. If this default rate growth rate is maintained, by May 22, the overall default rate of this asset pool will exceed 1%.

what is the concept of 4.25% default rate? According to the data disclosed in the third quarterly report of China Merchants Bank in 218, as of the end of the reporting period, the credit card non-performing rate of China Merchants Bank was 1.14%, a slight increase of .3 percentage points from the end of last year. In other words, the default rate of China Merchants Bank's credit card installment business is nearly four times the overall non-performing rate of credit cards! Even if the default amount inside M3 is deducted, the default rate above M3 is still three times the overall non-performing rate of credit cards. This shows that the quality of this part of the asset pool provided by China Merchants Bank's credit card installment business is worrying.

Hexiang's first rating report on asset-backed securities for personal consumption loans in 217 shows that the basic assets of this trust product are 1.144 billion yuan credit card installment loans issued by China Merchants Bank. Among them, the priority level A is 8.51 billion yuan, accounting for 83.89%; Class B is 7 million yuan, accounting for 6.9%; Secondary 934 million yuan, accounting for 9.21%. The start date is June 1, 217, and the latest due date is expected to be July 26, 22.

according to the prospectus, the assets of this pool are 571,19 installment loans for personal consumption credit card bills issued by China Merchants Bank, with 497,476 borrowers. The maximum principal of a single loan of the borrower is 97,2 yuan, and the average outstanding principal amount is 2,4 yuan.

The assets in the pool are representative enough to fully reflect the fundamentals of China Merchants Bank's credit card installment business, regardless of the total amount of issuance or the number of loans.

The remaining term of a single loan for assets in the pool is 35 years at the longest and 8 years at the shortest, and the weighted average contract term is 18 years. The weighted average age of borrowers is 33.22 years old, indicating that borrowers are in the rising stage of personal career development.

the interest rate of installment business in the pool includes annual interest rate and contract rate, in which the average annual income is 7.74% and the highest annual interest rate is 13.99%. The average contract rate is 11.88%, and the highest contract rate is 24.48%.

from the basic situation of the asset pool, the asset quality in the pool is relatively good. The rating report also pointed out that China Merchants Bank's personal consumption credit card bill installment loan business has developed steadily as a whole, with mature business model and perfect risk management. Therefore, the high default rate of more than 4% is quite surprising.

The installment default rate of Bank of Communications' credit card is only .57%

From the overall credit card market, the installment default rate of China Merchants Bank is significantly higher than the market average.

according to the statistics of payment business in the third quarter of p>218, by the end of the third quarter, there were 659 million credit cards and debit cards in use nationwide, with a total credit of 14.69 trillion yuan and a credit payable of 6.61 trillion yuan. The total outstanding credit of credit cards overdue for half a year is 88.98 billion yuan, accounting for 1.34% of the credit balance payable by credit cards.

From the perspective of China Merchants Bank itself, by the end of June 218, China Merchants Bank had issued 114.43 million credit cards and 74.64 million circulation cards, with a credit card loan balance of 512 billion yuan and a credit card non-performing rate of 1.14%, a slight increase of .3 percentage points compared with the end of the year.

In December 217, Bank of Communications issued "Jiaoyuan 217 Phase IV Credit Card Installment Asset-backed Securities". The total number of borrowers is 1.28 million, with an average age of 33.15 years, an average loan balance of 7,863 yuan, an average contract period of 9.99 months, and an average commission rate of 13.86%.

another product is "the first credit card asset securitization trust in 217" issued by China CITIC Bank, which was issued in June 217. The balance of principal is 5.45 billion, and the borrower is 228,, with an average age of 38.54 years. The average principal balance of a single loan is 2,6 yuan, the average contract period is 25.33 months, and the average handling fee rate is 17.17%.

It can be seen that the credit card installment assets of China Merchants Bank, Bank of Communications and CITIC are very similar in some key elements. CITIC Bank has the highest average handling fee rate, China Merchants Bank has the lowest average term and the smallest average loan amount, all of which are Bank of Communications.

however, Shang pingjun found that the three data are quite different in the cumulative default rate.

The cumulative default rate of the collective assets of China Merchants Bank "* * * enjoys the asset-backed securities of the first personal consumption loan in 217" is 4.25%; The cumulative default rate of collective assets of "Jiaoyuan 217 Phase IV Credit Card Installment Asset-backed Securities" is only .57%; The cumulative default rate of collective assets of CITIC's "217 first-phase credit card installment asset securitization trust benefit" is 1.3%.

or the bank will follow up the card sealing action of China Merchants Bank.

from the default rate, the risk control of the credit card installment business of Bank of Communications is undoubtedly the best, which is also in line with the common sense of the industry, that is, the credit card of Bank of Communications is almost the strictest in China.

In several credit card community forums, Shang Pingjun also saw different credit card risk control rankings summarized by many senior credit card users, among which Bank of Communications ranked first, followed by China CITIC Bank. Some credit card users said that CITIC is the second largest risk control company after Bank of Communications, and especially likes to reduce the quota without warning, which makes many people like to cash out credit cards in large amounts.

users are afraid to fight.

Comparatively speaking, the risk control of China Merchants Bank's credit card business is more flexible. Especially in recent years, China Merchants Bank has joined many Internet companies, and the number of credit card issuance and transaction volume has increased by leaps and bounds. But at the same time, the risk of * * * debt is also prominent.

Especially after the middle of 218, with the P2P storm and cash loan rectification, the risks of credit loans from different financial institutions began to accumulate gradually.

In September, 218, China Merchants Bank executives pointed out in the conference call on the performance analysis of the third quarterly report that with more and more lenders in the market, a large number of Internet platforms have experienced lightning storms and run away, and the debt risk of * * * is gradually reflected both inside and outside the system. The generation of bad credit cards and overdue loans of China Merchants Bank have also increased compared with previous years. One of the reasons is the emergence of * * * debt risks.

among all kinds of credit card businesses, the installment business, especially the cash installment business, is the most alarming, because this customer group is highly overlapped with the people who have cashed in and raised their cards. Once the capital chain is interrupted, it will lead to a series of risks. In this context, after the Spring Festival, China Merchants Bank quickly took action to stop customers with high debt risk. Related questions and answers: Why can't your China Merchants Bank credit card be phased? What should I do?

The credit card of China Merchants Bank cannot be divided into stages, which means that your credit card has been controlled by the wind. It may be that you have overdue, cashed out or other credit cards or loans are overdue.

if you encounter this kind of situation, you must pay attention to the habit of using the card and repay it on time, and don't forget that the repayment will lead to overdue. Usually, when you cash in, don't brush it all at once. In the early stage, you should brush more than a dozen small ones and brush a big one. And the interval between each swipe should not be too short.

don't swipe your card at the same pos machine every month, which is too risky. Anyway, spend money every day, try to spend money where you can swipe your card, regardless of the amount, swipe your card when you can, even if you buy a pack of salt. This will reduce the risk of your credit card being controlled by the wind and help to increase the limit.

when using a credit card, you must spend rationally, and don't blindly spend, which will lead to the inability to repay in the end and become a card slave of the credit card.