What should be done about the pain points of risk control in the auto finance industry?

Pain point 1: Fraudulent loans in the car loan industry

Some car owners create false identities and use accident cars, fake cars, rental cars, and seized cars to defraud loans, and if these problems are not handled well, there may be more bad debts, which will affect the company's efficiency and development.

Through the analysis of the resident location of personal big data, the Sichuang cloud monitoring platform collects the car owner's car trajectory, and through the big data analysis of the car trajectory, the car owner's frequent stay points can be found, and according to these frequent stop points, it can verify whether the communication address (unit, family) declared by the car owner is true, so as to provide the target location and route for the follow-up car search.

Pain point 2: The installed GPS equipment is removed

The biggest headache for the auto finance risk control industry is that it is impossible to monitor the traces of the car in real time, and the GPS locator installed on the car has been removed. When the GPS is removed, it is like a stone sinking into the sea without a trace, and once the car is out of control, the risk factor will soar.

When the equipment installed on the vehicle is dismantled, the alarm information is immediately uploaded to the Sichuang cloud monitoring platform, which can control the vehicle at the first time, conduct forensics to speed up the search for the vehicle, and reduce the risk of the vehicle being transferred and sold.

Pain point 3: One car has multiple loans, and the car that has just been loaned is immediately recharged

As soon as the car was loaned, it was immediately remortgaged or directly resold by the owner, and the car loan company wanted to cry without tears, bringing economic losses to the leasing company. Therefore, a professional auto finance risk control system for post-loan vehicle monitoring and management is particularly important for auto loan companies.

Pain point 4: people and vehicles disappear

The car that was loaned is gone, the owner is gone, and the probability of the car being recovered is basically not very good without any accurate data analysis. Of course, if the car loan company has a good risk control platform, the situation is different.

On the Hews monitoring platform, the historical trajectory of the device within 12 months can be played back, and the status and address of the device at each point in time can be displayed. The car loan company will find that the operation platform page is clear and complete, and the movement track of the vehicle can be seen in the map after configuration, and the vehicle can be easily managed, so that the user experience is better!

Pain point 5: Natural disasters cause damage to vehicles

Affected by geographical factors, heavy rains and typhoons often occur in the southern coastal areas, and sandstorms often occur in the north. Heavy rains can cause vehicles to be flooded on roads, residential areas or underground garages; Typhoons and sandstorms cause falling objects and trees to fall, causing vehicles to be smashed. These natural disasters are sudden, wide-ranging, and harmful, and if they are not predicted in advance, the cost of damage to the vehicle cannot be underestimated.

a.Mortgage loans.

The risk control of mortgage loans mainly consists in strictly controlling customer access before lending, conducting door-to-door investigations and verifying the authenticity of customer information during lending, and rejecting customers with poor qualifications to reduce risks. Due to the limitations of bank credit inquiry, it is impossible to accurately determine whether the customer is borrowing long, and for customers with blank assets and liabilities, the authenticity of their information cannot be determined by door-to-door investigation, and the borrower uses false identity information, provides false real estate certificates, income certificates, provides fake divorce certificates, false driving licenses and other means to defraud loans. Banks do not strictly control the risk after lending, which leads to difficulties in collecting cars and high bad debt rates.

b.Financial leasing companies.

At present, the car loan market is divided into pledged cars and GPS car markets, and the pledged vehicles are stored in the warehouse, which has a small risk, but GPS, as a basic credit loan, has a huge market share. Due to the relatively low threshold for customer access, the credit management system and credit evaluation technology are defective, and the core credit management dimensions such as vehicle value, credit status, work and business status, family stability, debt status, and repayment willingness are not in place. In particular, in order to pursue profits, some of these platforms still choose to lend money, knowing that such customers are more risky, resulting in a high default rate.

Many companies' risk control methods mainly rely on post-loan management and offline collection, but post-loan management does not use the business system for data management, some companies do not have an independent risk control line, part of the risk control process is participated by business personnel, and the implementation of the risk control process is not in place, resulting in operational risks such as vehicle value assessment errors, unqualified GPS installation, missing spare keys, and insurance expiration, and the borrower's peer liability data is not grasped. Sometimes the lender has not made the payment, and the person in charge of the loan company traces the vehicle, only to find that the GPS has been transferred to another vehicle, and the owner has lost contact with him. Individual lenders install shields in the car to block GPS signals and prevent them from uploading location information to drive the vehicle to remote areas, at which time the financial company chases the car with high cost and poor timeliness, and the success rate is extremely low.

In order to get more of the loan amount, the fraudsters finally disappeared after being mortgaged by multiple loan companies. Even if the vehicle is tracked, several loan companies compete for the car, and the losses are huge. There are even some vehicles that are resold to black cars, and both people and vehicles are empty.

The collection methods of financial enterprises mainly rely on door-to-door car search and 24-hour tracking of repayers. These behaviors not only have high labor costs, low efficiency, and increase the bad debt rate of the platform, but also affect the reputation of the platform and cause adverse effects. Lack of strict pre-loan review and difficulty in post-loan collection are common problems in the industry.

Under the general trend of compliance rectification in the P2P industry, more and more platforms use auto loan assets as new business support, but how to control auto loan risks, reduce bad debt rates, and improve corporate efficiency has always been a major problem.

For auto financial leasing companies, the most important thing for risk control is to be able to achieve intelligent "anti-fraud" through the combination of software and hardware.

1. Auto loan credit risk control:The risk control of car loan credit is divided into credit investigation for people and credit investigation for cars, and credit reporting for people is in addition to bow |In addition to the credit data of the central bank, it is also necessary to collect data dimensions such as personal occupation, income, residence, assets and relatives, so as to generate a highly referenced personal credit evaluation report, on this basis, determine that the lender is qualified for the loan, and prevent the car loan risk caused by insufficient personal credit and the lender's lack of repayment integrity; For the credit investigation of the car, it is necessary to cite and establish a vehicle blacklist and whitelist database, on this basis, to determine whether the vehicle is eligible for a loan, and to prevent risks such as blacklisted vehicle mortgage and multiple loans for one car.

2. Risk control of car loan lending:Auto loan credit investigation is to solve the problem of whether the borrower and the vehicle are eligible for the loan, and the risk control of auto loan lending solves the problem of loan amount, which is mainly determined by the expected repayment ability of the borrower and the assessment of the residual value of the vehicle, and the expected repayment ability needs to establish a personal information big data model, generate a personal repayment ability report, and at the same time assist the guarantor measures to prevent the risk of car loan caused by insufficient repayment ability; In the case of vehicle residual value assessment, it is necessary to introduce a third-party vehicle appraisal tool to give an accurate vehicle value assessment and vehicle wear and tear rate by professional and fair means, and then determine the loan amount and loan cycle on a different basis, so as to prevent the risk of car loan caused by excessive vehicle valuation.

3. Risk control of car loan technologyAuto loan credit risk control and auto loan lending risk control both belong to pre-loan risk control, while auto loan technology risk control belongs to post-loan risk control, which can be divided into two levels: vehicle safety risk control and repayment collection risk controlVehicle safety risk control is to install GPS positioning to prevent vehicle loss, real-time monitoring, prevent secondary mortgage, etc., and combine with the risk control platform system to carry out a full range of vehicle intelligent risk control supervision, so as to achieve risk control during and after the loan. Passing on the risk of loss and wear and tear of the vehicle to the insurance company through the purchase of car insurance; Repayment collection risk control is to remind lenders to repay on time through reasonable repayment mechanism settings, and enhance lenders' willingness to repay through the application of multiple online and offline collection methods.

Speaking of auto finance risk control again, I don't know which part you are currently doing, generally speaking, there are three situations in auto finance:

Auto dealer financing, that is, banks or auto finance companies or financial leasing companies, loans to 4S stores, used to pick up cars from manufacturers (there are also store construction project financing), the corresponding assets are inventory cars, risk control mode is: inventory floating mortgage + certificate pledge (as the case may be) + inventory monitoring (Internet of Things + physical inventory), the vehicle leaves the dealer area, often means that it is sold, if there is no repayment, it is necessary to take stock on the spot in time. What about post-loan management, market access and credit assessment?

That is to use ERP data to evaluate the operation of dealers.

In second-hand car financing, the owner is short of money in the short term, pledges the car, and obtains a short-term loan, often with a high interest rate. On the one hand, the borrower is very risky (heavily indebted, engaged in high-risk industries, and easy to lose contact), on the other hand, the car itself has many defects (mortgages, black cars, disputes, car conditions), and risk control is to increase the pledge rate, shield GPS, notarize the sales contract, and maintain a large number of channels for quickly getting rid of second-hand cars.

If you are engaged in situation one, what you need to learn is some first-class chain management and enterprise management knowledge, and have a deep understanding of the automotive industry (production, products, and markets).

If you are engaged in case two, all you need to learn is credit reporting, theory and technology, a lot of program development, crawler technology, model building, and machine learning. In fact, this part does not require any financial knowledge, pure technical work, and I am embarrassed to say that I am engaged in risk control without a mathematics + computer degree.

If it is case three, you need a lot of social experience, please refer to the pawnshop.

So the competitive pressure is still quite high. Moreover, dealers are distributed all over the country, and the offices and personnel of auto finance companies are basically fixed in several big cities, how to compete with local banks for marketing and risk control, this is my main job. Core Questions:

Reduce capital costs, improve approval efficiency, and control non-performing loans. The following work was mainly done:

First, in terms of dealer loans, the credit line and risk management are controlled through the modeling of 4S store operation data, and the advantage lies in the dealer data mastered by the manufacturer, while the bank does not. Through these data, you can make a model to judge the dealer's sales, capital, risk, and profitability, and grasp the information one step ahead of the bank. How to market dealers using loans instead of bank loans mainly depends on the power of the manufacturers, through the coordination of the group, especially the manufacturers car sales companies.

Second, in terms of personal loans, how to compete with local bank credit cards for marketing, of course, still rely on the manufacturer's control over the dealer, coordinate the manufacturer, exert pressure on the dealer, and subsidize the dealer at the same time. How can it be faster than bank credit card approval? The following work was done, a data analysis team was set up, and the credit status of car buyers was judged through Internet big data modeling, and anti-fraud models were made.

To achieve fast, automated and efficient approval, the main thing is to reduce the overall labor cost of the company, through the above two models do replace a large number of personnel, and the cost of business trip due diligence is reduced a lot.

3. Financing to reduce the cost of capital The group issues bonds, does a good job in indicators, controls the non-performing rate, and issues bonds, including the assetization of automobile consumer loans. The main advantage of auto finance companies is that manufacturers participate in risk control and disposal, but internal coordination is not small. I am most afraid of the group company's nest fighting!

We must coordinate the strength of the manufacturer group and straighten out the relationship between dealers. Relationships are productivity.

To do a good job in risk control of auto finance, we must build a strong risk control system to solve the old difficulties of supervision, and at the same time cooperate with stable GPS equipment and rely on big data risk control to ensure asset security.

Auto finance risk control is mainly monitored through a professional auto finance risk control platform, which is mainly divided into two parts: pre-loan evaluation and post-loan monitoring.

The biggest problem encountered in the auto finance industry should be the risk control of auto loans

In the face of the favorable market situation of auto finance, the high risk of auto finance cannot be ignored, and market risks, operational risks, credit risks, and illegal operation risks exist in all aspects of auto finance services. With the continuous relaxation of credit policies, intermediary fraud, identity theft, vehicle cash-out, one-car dual loans and other auto finance risk behaviors are frequent, and have even become a pain point that cannot be ignored in the auto finance industry.

At the root of the problem, the root cause of the frequent fraud and chaos in the auto finance industry is the weak risk control ability of the platform itself and the lack of risk control awareness. The information in the auto finance industry is not transparent, the market lacks a sound credit system, and the platform's own risk control capabilities are insufficient, resulting in enterprises being unable to effectively avoid fraudulent behaviors such as repeated second mortgages and fraudulent loans. At the same time, in order to seize market share, many trading platforms excessively pursue the scale and speed of lending, lower the requirements for risk control, and even ignore the risk control link of auto finance, as long as customers apply for loans, these behaviors greatly condone the breeding of fraudulent loans.

To do a good job in auto finance risk control, we must do a good job in human risk control. Relying on its own powerful big data risk control management and analysis platform, Tongfudun Big Data Risk Control has established a safe and mature big data anti-fraud system to effectively control fraud risks for customers from the application stage to the post-loan management stage. Tongfudun anti-fraud cloud platform can assist auto finance platforms to improve the auto finance risk control system for pre-loan, loan and post-loan management from multiple aspects of operational security such as account risk protection, application risk protection, and fraud credit risk protection, effectively identify loan fraud, intermediary fraud, cash-out and other behaviors, and reduce capital losses.