Zheng Quan Shi Bao·2025-10-27 18:11Core Viewpoint - The credit card business of commercial banks is entering a critical phase of stock competition and deep transformation, with multiple institutions adjusting their installment business rules, raising market attention [1][2]. Group 1: Industry Adjustments - On October 22, Everbright Bank announced it will officially discontinue the "self-selected installment" service starting December 9, 2025, affecting previously activated accounts but not impacting outstanding installment transactions [1]. - Industrial and Commercial Bank of China (ICBC) will optimize its credit card installment and consumption transfer installment services, ceasing long-term installment options exceeding 36 months, effective December 5, 2025 [1]. - The concentrated actions of various banks outline a clear trajectory of industry adjustments [1]. Group 2: Factors Driving Changes - Regulatory requirements are compelling banks to adjust installment business rules, ensuring compliance and preventing excessive credit issuance [2]. - Banks aim to optimize credit structures and control financial risks, as rising credit card delinquency rates necessitate adjustments in installment fees, terms, and entry thresholds [2]. - The need for sustainable development is pushing banks to shift from aggressive growth strategies to refined financial management and pricing strategies [2]. - The adjustments are intended to reshape customer relationships, moving from a reliance on installment fees to enhancing customer loyalty through diversified services [2]. Group 3: Impacts on Banks and Customers - In the short term, banks may face challenges with slowed growth in installment business and reduced fee income, but long-term benefits include improved asset quality and a shift towards digital and refined customer operations [3]. - Customers with weaker credit profiles may experience tighter installment qualifications and reduced favorable rates, while overall transparency in installment costs and repayment terms is expected to improve [3]. - The credit card business is transitioning from a focus on scale expansion to a more detailed approach, evolving into a comprehensive financial service platform [3]. Group 4: Recommendations for Banks - Banks are encouraged to integrate financial services deeply into diverse consumption scenarios, providing comprehensive solutions that combine payment, installment, and benefits [4]. - Enhancing digital service capabilities through financial technology, utilizing big data and AI for personalized service, and implementing differentiated risk pricing are recommended [4]. - Innovation in products and models, such as flexible installment options and customer education on rational borrowing, is essential for improving customer experience and maintaining profitability [4].