Bank of the Analysis of the reasons for overdue loans--Case study on A Bank

• Main Authors: Shi-Wen Chen, 陳錫文
• Other Authors: none
• Format: Others
• Language: zh-TW
• Published: 2009
• Online Access: http://ndltd.ncl.edu.tw/handle/21425932288369146871

碩士 === 東吳大學 === 企業管理學系 === 97 === Lending businesses are the main business and important source of profit for banks, but have to bear the risks. In recent years, many banks because of increased overdue loans, leading to the risk of bankruptcy. Therefore, how to reduce the amount of overdue loans and bad loans to increase profits for the bank, is an important issue. Therefore, this study hopes to understand in practice, what are the major factors that produced the overdue loans for the case of A bank. The study found that the major factors that affect the overdue loans are as follows: (A) Bank internal: including 1. under the pressure of operating performance or the competitive situation with the industry, to engage in high-risk loans, 2. director or senior bank lenders improper instructions, 3. lenders mismanagement, lack of truly insolvent financial resources, 4. business credit information inaccurate, 5. companies operating and financial information of the significant changes in a timely not to re-examine its limit. (B) Company business : including 1. responsible person for the alleged misappropriation of company assets, 2. on the wrong industry to determine the economy, leading to the blind expansion of the financial crisis happened, 3. years of losses, weak, uncompetitive products, 4. family to relax the internal management of enterprises, poor operating performance, 5. multi-operator, blind acquisition, over-investment, poor profits and losses. (C) Company operations : including 1. the transfer of foreign assets and liabilities in Taiwan, 2. business operations affected by the overall industry impact of poor economy, 3. mainly the loss of customers, reduced revenue, 4. the excessive expansion of the scale, but the investment effectiveness is not significant, 5. colluding with each other, malignant breakdown. (D) Company financial : including 1. enterprises to use a high degree of financial leverage operation, heavy interest burden, 2. enterprises to short-term borrowing to cover long-term use of funds, deteriorating cash flow, 3. funds and the use of improper planning and management, 4. short-term capital tight, too little cash or loans have been more difficult for credit expansion, 5. corporate over-investment, the backlog of capital is too high so that the financial burden too heavy. Key words: Loan quality, Overdue loans, Enterprise loans, Lending behavior.