What is bank risk control?

Bank risk control refers to that risk bank managers take various measures and methods to eliminate or reduce the possibility of risk events, or risk controllers reduce the losses caused by risk events.

The characteristics of risk control, risk control should start from the source, not completely eliminate risks, but comprehensively control risks. Risk runs through every link of the business, and it is found that the risk lies in maximizing information. The key to risk prevention is to control the key people and things, so as to prevent beforehand, control during the event and summarize afterwards.

Risk control is to manage risks within a controllable range. The four basic methods of risk control are: risk avoidance, loss control, risk transfer and risk retention. For credit and risk control personnel, the biggest risk is the lack and uncertainty of the ability and willingness of borrowers and their guarantors to repay debts (compensation).

Extended data

In the bank credit industry, the main work function of bank risk control runs through the whole back-end system, from pre-lending to in-lending, to post-lending and pre-lending, that is, the initial review before the customer applies for import. An important part is to examine the stability of customers' economic income, which is conducive to controlling customers' solvency in the later period and the compensation of contacts.

Banks should start with personal basic materials, credit reports and additional assets certification materials. Among them, the credit report mainly looks at the customer's liabilities, credit records, the frequency of changes in personal basic information and recent credit inquiry records. And help judge the comprehensive qualification and risk of customers from the side.

In the process of loan, that is, from the introduction of the customer to the effectiveness of the contract, we mainly contact the customer from the front to understand the authenticity of the loan purpose and the compliance of the process. In this process, it is the top priority of the whole risk control system and the last line of defense for risk control, so as to comprehensively grasp and reasonably judge the risk points of customers and distinguish the controllability of risks.

Risk control mainly involves establishing long-term limited contact with customers and overdue collection. Good cooperation with customers can effectively reduce the risk of overdue.

Refer to Baidu Encyclopedia-Risk Control