Shanxi Banking and Insurance Regulatory Bureau releases the second quarter consumer complaint report, with Jinshang Consumer Finance ranking first in the number of complaints within the jurisdiction.

Beijing News Beike Finance News (Reporter Huang Xinyu) On October 21, the Office of the Shanxi Provincial Banking and Insurance Regulatory Commission (BIRC) issued a report on the consumer complaint situation in the banking industry for the second quarter of 2022. According to the Shanxi BIRC, in the second quarter of 2022, the bureau and its local branches received and forwarded a total of 682 financial consumer complaints, a decrease of 0.73% from the previous quarter. Jinshang Consumer Finance Company (hereinafter referred to as “Jinshang Consumer Finance”) received 140 complaints (as shown in the figure below), ranking first in the region. At the same time, the reporter also found that in the same second quarter of this year, despite a slight increase in net profit, the total asset scale of Jinshang Consumer Finance shrank quarter-on-quarter.

Complaint situation of non-bank financial institutions in Shanxi Province (unit: cases) Figure / Shanxi BIRC

The Shanxi BIRC had previously reported that consumer financial companies had prominent complaints among non-bank financial institutions. This report shows that in the second quarter of 2022, the total number of complaints against non-bank financial institutions in Shanxi Province was 143, of which Jinshang Consumer Finance accounted for 140 complaints, an increase of 21.74% from the previous quarter, making up 97.90% of the total complaints against non-bank financial institutions.

Just a month before the release of the report on the consumer complaint situation in the banking industry in Shanxi Province for the second quarter, on September 29, the BIRC issued a notice on further strengthening the handling of consumer complaints. The BIRC stated that it would highlight the assessment orientation of consumer complaints while strengthening accountability and rectification at the source. Particularly regarding the latter, the BIRC emphasized that for institutions responsible for handling consumer complaints ineffectively, they must hold accountable the directly responsible personnel and management according to relevant regulations.

According to its official website, Jinshang Consumer Finance was established on February 23, 2016. By the end of 2021, Jinshang Consumer Finance had issued over 73.2 billion yuan in inclusive consumer credit, serving more than 16.8 million consumers.

Yuxin Technology (300674), which holds a 20% stake in Jinshang Consumer Finance, reported in its 2022 semi-annual report that as of the end of the reporting period, Jinshang Consumer Finance had total revenue of approximately 210 million yuan, a quarter-on-quarter decrease of about 23.64% from the previous period’s 275 million yuan; net profit was 25.6137 million yuan, a slight increase from the previous period’s 25.2868 million yuan.

However, despite the slight increase in net profit, Jinshang Consumer Finance experienced a quarter-on-quarter “shrinkage” in total assets.

According to Yuxin Technology’s 2022 semi-annual report, as of the end of June 2022, Jinshang Consumer Finance had total assets of approximately 7.698 billion yuan, a quarter-on-quarter decrease of 2.45% from the previous period’s 7.891 billion yuan.

Editor Song Yuting

Proofreader Lu Qi

(Responsible editor: Ma Jinlu HF120)