Our business process comprises the acceptance of application, conducting due diligence,assessment and approval, the granting of applications, and post-grant reviews and collection.
Lease application
The credit risk management process begins with a lease application. Our business managers will respond to the initial inquiries from a lease applicant, analyze such applicant’s financial needs and financing plans, and recommend appropriate repayment plan.
Initial review
Our business department conducts the initial review of a lease application, including the completeness, legality, authenticity and validity of the materials provided by the customer, and considers whether to accept a customer’s application pursuant to our application acceptance procedure.
Due diligence and risk assessment
The key due diligence processes after acceptance of a lease application include:Investigation and due diligence processes,Parallel risk assessments, Use of “soft information“ indicators ( 軟指標 ) , Due diligence on guarantors , Due diligence on collateral and Anti-money laundering measures.
Assessment and approval
Once a lease application passes the review of our business department and risk management department, such lease application will be subject to a final assessment and approval by our risk management committee and our general manager.
Post-grant review
We conduct periodic inspections of the assets underlying the leases to monitor the risks associated with the leases. We periodically conduct on-site visits or telephone interviews with our customers to check the conditions of the leased assets and determine whether there is any loss, damage and abnormal depreciation.
Collection
In general, the lessees are required to make monthly payments on our leases. Moreover, in order to ensure that the monthly payments will be made on time, our business manager and asset management department will notify our customers three Business Days by phone calls, text messages or emails before the monthly payments fall due. Our asset management department is responsible for the collection of overdue payments from our customers.