With the continuous progress of economy and technology, online shopping and early consumption have become the main consumption methods of people, and the development of Internet consumer finance has become one of the most important issues at present. Internet consumer finance is an emerging finance that relies on Internet tools such as payment, cloud computing, social networking, and search engines to realize financial finance, payment, and information intermediary services. It is above the level of network technology such as security and mobile. New models and new services based on new demands, including third-party payment, online wealth management product sales, and financial e-commerce. However, due to the rapid development, Internet consumer finance is also facing various hidden risks, such as credit risk and information security. It is urgent to research effective measures to prevent and promote the safe and stable development of Internet consumer finance.
In 2018, China's consumer finance is advancing in the process of rapid development and rectification of regulations. On the one hand, China's domestic consumer demand is strong and the consumer finance market is booming. According to data from the National Bureau of Statistics, the total retail sales of consumer goods in the country reached 18 trillion yuan in the first half of the year, up 9.4% year-on-year; the contribution rate of consumer spending to GDP growth was 78.5%, up 14.2 percentage points year-on-year, fully reflecting the consumption of China ’s economy The basic role of development provides a broad space for the development of consumer finance.
Advantages and functions of Internet consumer finance
With the advent of the information age, the Internet has penetrated into all aspects of people's lives. Internet consumer finance has demonstrated the advantages of "openness, equality, collaboration, and sharing" in many ways, injecting new vitality into social and economic development.
1. Advantages of Internet consumer finance
1) Supported by national policies In recent years, the state ’s policy of opening up personal housing loans and auto consumer loans, and the “Guiding Opinions on Increasing Financial Support for New Consumer Fields” jointly issued by the People ’s Bank of China and the China Banking Regulatory Commission have become the driving force for Internet consumer finance Policy advantages for development. This is also an important value that reflects consumer finance in expanding domestic demand, promoting consumption, and promoting economic development, and provides a source of power for financial institutions led by commercial banks to develop consumer financial services.
2) The difference between having strong technology to support Internet consumer finance and traditional consumer finance is that Internet consumer finance takes advantage of the strong advantages of Internet technology to achieve the characteristics of "efficiency, speed, convenience, and security", creating an "Internet + entity "Mode of operation. The rapid development of Internet technology has enabled various consumer platforms to efficiently and quickly realize financial communication, and to meet the consumer's consumption capital needs in a timely manner. At the same time, with the continuous upgrading of cloud computing functions and the continuous update of big data mining technology, it is possible to achieve accurate analysis of the consumer market and customers, thereby enhancing the ability to identify customer credit ratings and improving risk control capabilities.
3) There is sufficient market demand. With the gradual improvement of national living standards, consumer demand is increasing, especially the post-80s and post-90s young generations have very different conservative consumption concepts from the previous generation. Their ability to accept new financial services is relatively high. With the rapid development of e-commerce, people have gradually changed payment methods and consumption concepts. Consumers ’demands for advance consumption are continuously increasing, and the demand for credit consumption is constantly rising, which brings more opportunities for Internet consumer finance.
2. The role of Internet consumer finance
1) Promote the development of e-commerce platforms. E-commerce platforms have a close relationship with capital transactions, mainly relying on their own platforms to provide online services to customers, and relying on Internet consumer finance to obtain funds trading channels, such as e-commerce launched instalment shopping platforms, allowing customers to tie By setting a bank credit card and using credit cards for installment of consumption, the customer obtains funds security protection, which is conducive to the e-commerce platform to improve the stickiness of the customer and improve the quality of its service. 2) Accelerating the transformation of financial institutions In recent years, the profitability of banking institutions has gradually declined due to the marketization of interest rates, and the e-commerce platforms have entered the consumer financial market one after another, which has caused traditional financial institutions to face unprecedented tremendous pressure and competition within the financial industry. Increasingly fierce. The development of Internet consumer finance has intensified competition in the consumer finance industry. If traditional financial institutions want to survive and develop in a new environment, they must accelerate their own transformation, continuously adapt to market conditions, continuously innovate on consumer financial products, and open up new businesses Channels, change the single asset-liability structure, and realize the transformation and development of financial institutions. 3) Promote the development of the real economy Like traditional financial institutions, the development of Internet consumer finance can also stimulate the transformation and development of the real economy. With the continuous expansion of the Internet consumer market, the real economy is facing not only the pressure of industry competition, but also the critical moment of life and death. In order to seek development, it is necessary to study the unique development direction and policy strategies of the real economy and continuously optimize the economic structure. To take various measures to attract public consumption, drive the overall consumer demand of society, give play to the role of consumption in promoting economic development, and promote the balanced development of China's real economy and the Internet economy.
Development status and hidden dangers of Internet consumer finance
Although Internet consumer finance has developed rapidly in the short term, it has just started and is an emerging financial industry. The system and system are not sound enough, and it still faces some difficulties and risks in the development process.
1. Development status of Internet consumer finance
1) Lack of a sound industry supervision system As China's Internet consumer finance is an emerging product and has developed rapidly, the industry supervision system has not been perfected and perfected, such as “naked loans”, false advertisements, online loan sharks, and online financial frauds. Occasionally, it seriously disrupts the order of the financial market, affects the credibility of financial institutions, and hinders the rapid development of Internet consumer finance.
2) Lack of perfect personal credit reporting system China's personal credit reporting system is still in its infancy, although Internet consumer financial institutions can use the collected user transaction information to reasonably assess the user's credit situation, there are still insufficient coverage, In the case of incomplete information, the information established by the residents in public security agencies has not been effectively shared, and the integrity of the credit assessment is more difficult to achieve.
3) Lack of effective risk control measures At the stage of rapid development of Internet consumer finance, many companies and institutions have ignored the meaning of "quality" in pursuit of "quantity" changes, often attaching too much importance to scale expansion, and relax their vigilance in risk management and control. Failed to adopt effective control measures and relax the review and verification standards in user review, resulting in the continuous emergence of potential risks of Internet consumer finance.
2. Hidden risks faced by Internet consumer finance
1) Security risks While the rapid development of Internet consumer finance, the biggest hidden risk is information security. Since the data of Internet consumer finance are stored in the computer, and the information is transferred to each other through the network platform, once a computer virus occurs, the entire Internet financial system may be paralyzed. Therefore, how to strengthen the network technology and computer virus prevention and control to prevent the leakage and loss of various information is the direction of current research.
2) Credit risk The development of Internet consumer finance business is based on the establishment of credit between financial institutions and customers. Therefore, credit risk will also bring great hidden dangers to Internet consumer finance. The Internet consumer finance business is carried out on the Internet. If the information of both parties of the transaction is opaque and lacks the supervision of the third-party regulatory agency, it will cause capital losses. Some lawbreakers will also use these loopholes to make false transactions and sell fake products Behavior, causing great losses to consumers. 3) Legal risks Because Internet consumer finance relies on technologies in emerging fields such as Internet technology and information technology, these industries have relatively late start and rapid development. It is very difficult to establish and improve laws and regulations. Most of the current management methods or Opinions, lack of a relatively sound legal and regulatory system as the basis, there is no favorable basis to define the rights and responsibilities of all parties in the event of economic disputes, prone to hidden risks such as unclear rights and responsibilities between buyers and sellers.
Internet consumer finance is facing development trends and risk prevention measures
In response to the above-mentioned problems and hidden risks, countries and financial institutions should actively take profitable measures on the premise of recognizing the development trend of Internet consumer finance, effectively prevent various risks, and promote the safe and stable development of Internet finance.
1. The development trend of Internet consumer finance
1) The banking industry is facing transformation and innovation. In order to comply with the development direction of Internet consumer finance, the banking industry must accelerate the transformation process, innovate management and service models, continuously improve online and offline services, and make full use of the Internet and big data. , Cloud computing and other technical means to realize the transformation of traditional services and operating models, push banking business to the digital development team, and make the banking industry a mainstream industry in Internet consumer finance.
2) Socialization mode is facing Internetization With the popularization and application of mobile terminals such as mobile phones, mobile Internet has become an important platform for people's social life in the future, and mobile finance will also become an important means of people's consumption needs. Internet-based financial services, which is beyond the reach of traditional financial services, Internet financial socialization has become an inevitable trend in the development of Internet finance.
3) Internet companies are facing marketization. Internet consumer finance mainly meets the needs of modern financial services such as consumer loans and purchases of goods through the Internet, including personal housing loans and auto installment loans. At this time, e-commerce companies such as JD.com, which has entered the field of online consumer finance, will usher in an industry outbreak of Internet consumer finance. The addition of e-commerce will also bring about new changes in the market landscape, and the scale of transactions generated through e-commerce platforms will become Market players.
2. Risk prevention measures for Internet consumer finance
1) Improve the supervision system and improve laws and regulations With the continuous expansion of the Internet consumer finance industry, a sound supervision system and sound laws and regulations can provide a good development environment for the financial industry and also help clarify all parties involved in Internet financial consumption Power and responsibility to effectively protect the interests of all parties. On the one hand, it is necessary to strengthen industry supervision, list Internet consumer finance companies as important regulatory targets, clarify the regulatory agencies, entrust regulatory responsibilities, establish industry standards, regulate industry behavior, and strictly prevent the occurrence of Internet consumer finance chaos such as false advertising and illegal fund raising. On the other hand, we must strengthen legislation and regulations, increase the effectiveness of legal constraints, formulate and improve corresponding laws and regulations in accordance with the development status of Internet consumer finance, seriously handle violations of laws and regulations, and comprehensively regulate the management of Internet consumer finance.
2) Improve the credit reporting system and strengthen safety management The establishment of China's personal credit reporting system is still in the initial stage, and some of the information is not complete enough, resulting in insufficient verification of the information. A perfect personal credit information system can provide Internet consumer financial institutions with accurate and comprehensive user information, effectively detect and avoid risks, and reduce risk control costs. Therefore, it is necessary to actively establish a good information sharing mechanism with public security, civil affairs, taxation and other departments, use big data and network sharing platforms, and constantly improve the database of the personal credit system. At the same time, we must increase the management and control of information security and network security, strengthen the information management of computers and networks, and increase the training of scientific and technological personnel to ensure data and information security.
3) Strengthen safety education and promote rational consumption. The reason for the emergence of chaos in the financial market is mainly related to the concept of investors and consumers. Therefore, it is necessary to conduct targeted safety education for different investors and consumers. On the one hand, financial institutions should actively remind the existence of risks in the process of handling business, and regularly carry out Internet financial knowledge popularization activities, so that the majority of investors and consumers can establish the concept and awareness of protecting their legitimate rights and interests. On the other hand, government departments and regulatory agencies should guide citizens to make rational consumption, avoid blind investment, remind consumers not to be influenced excessively by advertising media, reject the life concept of luxury consumption, and advocate a correct consumption concept.
With the rapid development of the economy, Internet consumer finance has become an inevitable trend of the current social economy, but we must also be clearly aware that Internet consumer finance also has certain development limitations and hidden risks. Strengthening prevention and management is the current social And financial institutions should focus on the subject, continue to explore and research in practice, through improving the supervision system, improving laws and regulations, improving the credit reporting system, strengthening safety management, strengthening safety education, advocating rational consumption, to prevent and control in advance, Promote the steady and sustainable development of Internet finance.
