What are the reasons for the difficulties of a microfinance company
, interest and financial costs were too high. Small loan issued of subject main is rural credit union, and post Bank, financial institutions and by approved can engaged in financial business of small loan company, these financial institutions and non-financial institutions, in interest rate policy Shang on give has they is big of tilt, caused has need money of to bear high of interest spending, some non-financial institutions will high of financial costs added in borrowing people body, makes borrowing people was burden, formed more cold more hair dryer of dilemma.
II, poor supervision of lending. Suppression of small loans issued by its technical condition, often unable to form an effective sharing of resources between higher and lower, that could not form an effective oversight. Small loans itself, small loans to form a certain scale requires a borrower a certain number, under the existing conditions, to large groups of borrowers for effective supervision of every loan is actually an empty talk.
c, product design flaws. Balance of financial product design should take into account the interests of both sides, and has strong operability, achieve win-win situation. But without strong action in the design of financial products, such as farmers, merchants UNPROFOR warranty. In a security body, a problem of policy holders, reimbursement of UNPROFOR as a whole body problem, because UNPROFOR would involve each of the joint holders ' interests as a whole, form a cold, many people to take the medicine the embarrassment.
four, poor risk awareness. Micro-loans of objects, ability to resist risks in the whole economy in a relatively weak position, determines their ability to resist risks, economic fluctuations, the most emotional is their. And these objects often lack comprehensive estimates and projections of the market, the choice of projects, has a great deal of randomness, the underestimation of the risks of the market. As payment for a loan also often lack the necessary guidance, even also not effective for an industry analysis, when the loans cannot be recovered, attributed to the market risk.
v, performance needs to be improved. Micro-loans in order to guarantee the normal development of the business, often new recruiters and hiring temporary staff, recruiting and employment, without the necessary training on appointment, to avoid leaks. As in lending and loan into the borrower's account is not, causing lenders to loan defaults. Borrowers in order to defend the loan it's hard to recover. Some officers to task, new lending and collection of old loans, loan base.
six loans, internal and external collusion and cheating. Issuance of microcredit is often based on social relations, which provided opportunities for criminal fraud. Financial institutions credit officers to get their own illegitimate interests, lenders make borrowing information, reason to turn a blind eye or even fraud, for the purpose of acquiring, obtaining loans. If a person uses, with many loans in the name of the person who.
seven, borrowers with poor credit awareness. Small loan is to borrowing people of integrity for based, is on borrowing people full believes Hou issued of loan, but many borrowing people not timely reimbursement loan, except objective reasons outside, actually most is lack necessary of integrity, borrowing Hou in subjective Shang on no prepared also, what to not also borrowing to shows off himself has skill, and to this discourage others not also loan, appeared has malignant interactive.