毕业论文外文资料翻译
题目
学院经济学院
专业金融学
班级金融0801
学生
学号20082207166
指导教师
二〇一二年四月二十日
Applied Economics, the Dryden Press, 2006 P75-78.
Non-performing Loans Management and Recovery
William J. Bauman and Alan S. Blinder
Abstract
With the deepening of China's economic system reform development and continuous improvement of the system of the market economy, banks ' lending business becomes completely open to individuals, personal loans of business growing, continues to expand the scope of business, especially the development of individual housing loan more quickly. Personal housing loan business in China at the time of its development, there are bad credit risks as well as the competitive situation is not optimistic, to a certain extent, hamper the development of individual housing loans, to sustainable development, research management must be strengthened on a number of issues. This article from the current development status of individual housing loan business to start, pointed out that because of the existing problems as well as problems and focus on how to develop personal housing loan bad credit risk reduction, foreign experiences and lessons learned, and thoughts and countermeasures for management, to promote the healthy and rapid development of the business.
Key words:Housing loans to individuals; Bad credit risks; present situation; problem; Countermeasure
1. Introduction
Under the five-category loan classification, substandard, doubtful and loss loans are defined as non-performing loans. Because the reasons behind non-performing loans formation are different, credit associates must take effective measures to manage, recover and dispose of these parts of asset according to their different characteristics. The bank should first find out the responsibilities of the guarantor and dispose of the security in time. Only when they confirm that the guarantor has lost the guarantee abilities and the security is not sufficient to pay off the loan, can they begin to dispose of the non-performing loans.
2. Reasons
There are many reasons why banks have poorly performing loan portfolios. Irrespective of these causes, banks have an obligation to shareholders, depositors and creditors to maximize cash flow from assets, the most troublesome aspect of which has been the poor record of banks in recovering loans. It is this factor that has contributed the most to bank insolvency, and liquidity constraints.
There are several complementary options available to banks to restructure problem loans and portfolios, including:
•Exercise of collateral (liens against property, inventories) through judicial or extra-judicial means.
•Out-of-court settlement that may focus exclusively on debt negotiation, restructuring and repayment, or lead to the financial, physical and operational restructuring of the enterprise.
•Bankruptcy/liquidation procedures through formal court proceedings. This may involve liquidation, reorganization or privatization of an enterprise to enforce partial or total loan repayment.
(Besides the bank itself, sometimes government also leads a restructuring program to help the bank to solve the problem of NPL in order to stabilize the banking industry or the whole economy, for example, Asset Management Company (AMC), a special purpose company, buys or exchanges NPL from bank and disposes of them).
3. Work-Out Unit
With aggregate loan portfolios universally troubled by delinquencies and defaults, some banks have opted to develop work-out units to improve loan portfolio quality. When work-out units are established, they are usually set up to deal with most of a bank's problem loans, effectively sectioning off non-performing loans from the broader bank portfolio of performing loans. The benefits expected from work-out units include;
•Concentrated focus on the recovery of problem loans;
•More developed banking expertise and credit risk evaluation skills;
•Improved internal bank system (early warning systems, collateral requirements, credit information needs).
Work-out units can make a significant difference in restructuring loan portfolios, particularly when supported by effective technical assistance.
4.Loan Restructuring and Loan "Rollover"
Case-by-case loan restructuring is common in market-oriented economies, particularly
