Core Viewpoint - The financial industry is facing significant challenges in post-loan management due to increased regulatory scrutiny on traditional methods such as phone calls and pre-litigation preservation, necessitating innovative solutions that comply with regulations while effectively reaching debtors [1][2][3]. Group 1: Regulatory Changes - The exposure of harassment calls during the 315 Gala has led to intensified regulatory measures, making phone calls for debt collection increasingly difficult [2]. - Since July, there has been a surge in account bans and fines related to phone calls, severely impacting the effectiveness of traditional debt collection methods [2]. - The limitations on pre-litigation preservation, effective from June 30, have further reduced the efficacy of judicial pathways for debt recovery, leaving the industry in a challenging position [3]. Group 2: Innovative Solutions - Wuhan Zhiping Tang Technology Co., Ltd. has developed an innovative "Address Finding" technology that combines technology and compliance to address the challenges in post-loan management [1][4]. - The "函必达 HC Intelligent Delivery" system, based on the "Address Finding" technology, has achieved a 75% signing rate for legal documents, significantly higher than the industry average of 30% [5][12]. - The company has built a comprehensive standard address database covering over 450 million active addresses, enhancing the effectiveness of document delivery [8]. Group 3: Technological Advancements - The "Address Finding" technology utilizes AI algorithms and big data to standardize and validate address information, improving the accuracy and completeness of addresses used for document delivery [7]. - The development of seven intelligent models, including repayment ability scoring and second contact selection, provides a full-link solution for decision-making in document delivery [9]. - The establishment of a fully automated packaging factory in collaboration with China Post allows for efficient processing of up to 50,000 documents daily, reducing errors and improving delivery precision [10]. Group 4: Strategic Collaborations - The strategic partnership with China Post enhances the delivery capabilities, ensuring that documents can reach even remote areas effectively [11][12]. - The company has implemented a customer service team to monitor delivery progress and address any issues that arise during the delivery process, further increasing the success rate of document delivery [12]. Group 5: Industry Impact - The innovative solutions provided by Zhiping Tang Technology have positioned it as a leader in the market, with over 10 million legal documents sent and more than 100 financial institutions served [13]. - The integration of compliance and technology is seen as a pathway for the industry to evolve, moving away from reliance on shortcuts and towards sustainable growth through technological innovation [14].

Group 1: Market Overview - The Chinese consumer finance market is experiencing unprecedented expansion as the economy shifts from investment-driven to consumption-driven growth, with a cumulative personal consumption loan issuance of 1.8 trillion yuan over two years [1] - The balance of personal consumption loans from six major state-owned banks exceeded 1 trillion yuan in 2024, alongside an 800 billion yuan increase in 2023 [1] Group 2: Asset Quality Concerns - The rapid expansion of consumer loans has led to rising asset quality issues, with a reported non-performing loan (NPL) rate of 2.39% for personal consumption loans and 3.50% for credit cards by the end of 2024, both showing a significant year-on-year increase of 1.05 percentage points [1] - High NPL rates pose serious challenges to financial institutions' asset quality, profitability, and sustainable development [1] Group 3: Post-Loan Management Challenges - The financial industry faces difficulties in post-loan management, including high rates of borrower default and difficulty in contacting borrowers, with a traditional collection method showing an 85% failure rate for overdue accounts [3] - Complaints regarding malicious collection practices reached 362,000 in 2024, accounting for 48.7% of all financial consumer complaints, with monthly complaint rates exceeding 40% [3] Group 4: Technological Solutions - AI and big data are emerging as key solutions to address challenges in post-loan management, with companies like Wuhan Zhipintang Technology Co., Ltd. developing innovative systems to enhance efficiency [6][10] - The "Huanbidai HC Intelligent Delivery" system integrates AI and address big data to improve the accuracy of address identification and delivery processes, significantly increasing delivery success rates [6][10] Group 5: Implementation and Results - The "Huanbidai" system has achieved a delivery success rate of 75%, compared to the traditional average of 30%, leading to a more than 30% increase in repayment rates for financial institutions using the system [9] - A notable test conducted by a well-known internet bank showed a peak repayment rate increase of 91% within a single day of using the "Huanbidai" system [9] Group 6: Future Prospects - Zhipintang Technology is expanding its address data services and plans to integrate address elements into risk assessment systems for pre-loan risk control, aiming to create a comprehensive technology-enabled ecosystem for the entire credit lifecycle [12] - The company is also exploring diverse applications of address technology across various sectors, including public services, e-commerce, legal, and data analysis, thereby broadening its market reach [12]