Rebirth: Super Banking System

Chapter 2275: Chapter 2095: The Unavoidable Problem

Early morning.

The updates from the two major platforms stirred excitement online, with everyone eager to see their Credit score and how much they could borrow.

"I only got three thousand."

"Two thousand."

"Five thousand."

"Ten thousand, haha, seems like it’s related to my usual spending flow. A colleague who shops online more than I do also got thirteen thousand."

"Damn! I got five hundred."

"Five hundred? Maybe you didn’t fill out all the information or it’s a new account."

"..."

Mostly it’s two or three thousand, rarely over ten thousand. Everyone gradually realized that this Credit Assessment system is very rigorous and won’t suddenly grant a large amount to someone.

In this way,

it can also deter some people’s impulsive Consumption.

"Pretty good!"

"Better to be cautious, I’d be scared if it’s too much."

"Exactly."

"The key is convenience. In the future, for an urgent need of three or five hundred, just directly borrow from WeChat with a charge of 0.05%. A thousand yuan only costs a few yuan in interest over three to five days."

"Very reasonable."

"..."

What people like the most is the withdrawal system, whether it’s micro loan or Jiebei, they can withdraw anytime. There are two aspects to this.

Withdraw to WeChat or Alipay balance.

Instant arrival.

If it’s to a bank card, it will be a bit slower. Most people like this because withdrawing to a bank card is often for spending.

Buying vegetables.

Eating.

Transfer.

Consumption.

And these,

with the popularity of Mobile Payment, no longer needs to be mentioned with a bank card. Now even the street vendors at Vegetable Market, any roadside stall, all support it.

Hence,

many people love this functionality.

0.05%.

A day.

For urgent money needs, it’s not high. Many people only need it for three or five days, ten days, or even half a month, so what’s the interest?

Ten thousand yuan.

Using it for a month only costs a hundred and fifty yuan in interest. A hundred and fifty yuan is just about the cost of treating friends to a meal when borrowing and returning money.

Someone said,

Not clear.

Friends,

don’t talk about interest, it makes things impersonal. Borrowing ten thousand and returning ten thousand is pretty normal, right? Otherwise, what are friends and relatives for, why talk about interest?

Uh!

Alright,

it’s just a way of dealing with people. Everyone has their own stance and opinion, can’t say it’s wrong, just... perhaps be a bit nicer to others!

...

Beijing.

Somewhere.

"Impressive."

Liu Dong tested two pieces of Software, sighing in his heart. This signified that the two major companies had officially ventured into the consumer Finance field, taking a big step forward.

Just imagine.

This will be a huge market.

WeChat.

Alipay.

These two have almost occupied over eighty-five percent market share in Huaxia’s Mobile Payment field, and the borrowings can be directly used for Consumption.

Then,

this means the target group is extensive,

enormous,

and profound,

all at an unprecedented scale.

Of course,

this doesn’t mean they can do business with everyone. After all, Huaxia people’s Consumption habits are primarily to act within their means, preferring to save.

Moreover,

most don’t like borrowing money, spending within their income. The actual users of the two loan products probably don’t exceed ten percent of the total users.

However,

this ratio is already quite high. Due to the large base, as long as risk is well controlled, the profit is considerable.

Big profit?

Uh!

He doesn’t dare to speak presumptuously.

After all,

even Banks with such strict risk control have bad debts. For the Bank, it’s like this; although the two major Platforms have Credit Assessment capabilities,

in the end, the base is large.

Bank,

if not qualified, doesn’t lend a penny.

Ali,

WeChat,

almost as long as the identity information is real, there’s a minimum limit of two hundred, huge risk. He calculated that the comprehensive profit of the two Platforms would not exceed three percent at most.

Bank,

Bad debt rate is over one percent.

Platform,

is likely to be a bit higher than this. If it goes up to two percent, the two Platforms are almost in a genuinely meager profit era. If it exceeds three,

Tsk tsk,

then it might face losses.

Currently,

the overdue Credit of the two Platforms won’t be recorded in personal Credit. It means the cost of overdue is significantly reduced. Just thinking about it –

Sigh!

This business,

seems booming, yet the future is uncertain. Unless overdue is included in the Credit Investigation, he’s sure that a large amount of profit will be eaten by bad debts.

Nevertheless,

despite the pitfalls,

Jingdong still needs to follow.

Jiebei?

micro loan?

No.

Jingdong temporarily learns from Huabei, doing Consumer Finance only for Consumption on the Jingdong Platform, thus controlling risk and avoiding going too far.

Click!

Pain!

Immediately,

an Email was sent to all senior executives, confirming the meeting topic for tomorrow morning.

...

Shen City.

Peguin.

"Sigh!"

A sigh was heard.

Currently,

Peguin has almost been squeezed out of the top spot in the Social Interaction field. On PC Terminal, though QQ still holds the largest share, in the Mobile Terminal field,

it’s a total rout.

WeChat,

has aggressively taken the largest share. Peguin is mostly left as a memory for everyone. With such user conditions, talking about loans is nonsense!

Moreover,

that little money,

is meaningless.

He quickly calculated the profits of Ali and WeChat. Without scaling up, there’s hardly any money to be made, and it might even incur losses due to bad debts.

Therefore,

this dish really isn’t appetizing.

With this time, the games under them can earn so much money, ERV’s strong game development capability has already put it in an invincible position, making tons of money.

Indeed,

relying on a big tree gives you a better shade.

"Alright!"

"You guys play, we won’t accompany."

...

Besides the two major Internet companies, quite a few giants also seemed to have seen a new world but after careful analysis, that little idea was instantly extinguished.

License.

Users.

Cost.

Benefit.

Risk.

...

One round of calculation, it’s a complete pit. Small scale is like doing charity, lacking Credit Assessment and matching overdue Punishment.

Bad debt.

An unavoidable problem that can drag them to death.

Only Ali and Tang Qing, with a massive foundation, have many users, and can use the large transaction volume to offset some of the bad debts.

So,

it’s better to wash up and sleep, they can’t manage to play the big shots’ game. Many have also seen that the loan limits on the two major Platforms are not very high.

At most two or three ten thousand.

Fifty thousand.

One hundred thousand.

Two hundred thousand.

These large funding needs are still unmet, yet thinking about it, such large Platforms do not offer fifty thousand or one hundred thousand loans,

makes one think:

--- Is there a pit?

Hmm!

Surely there is.

Definitely.

Otherwise why don’t the two companies do it, it’s not like they don’t have money. Come to think of it, a few thousand yuan bad debt per person and a few ten thousand yuan per person bad debt.

The difference is big.

...

Additionally,

some people had crooked thoughts, Loans, are a good business. If operated properly, it can be extremely profitable. These people quickly got up,

the more they think,

the more excited they get.

The two major Platforms dare not do large amounts, but they do. As long as they choose the right target and establish a good collection process, there’s no fear of not making money, haha, what a good business!