BEIJING, Aug. 10, 2018 /PRNewswire/ -- Hexindai Inc.
(NASDAQ: HX) ("Hexindai" or the "Company"), a fast-growing consumer
lending marketplace in China,
announced it has further strengthened its risk control system to
better protect investors throughout the entire process of borrower
acquisition, risk-based pricing, post-loan management, and default
risk coverage.
Hexindai has established a comprehensive, stable and efficient
asset security system, now named "HX-CORE", based on advanced risk
control technologies that leverage
risk control models and enormous volumes of credit data from
cooperating partners and business data accumulated by Hexindai.
"Hexindai aims to build a convenient, transparent and safe
online lending platform to drive inclusive finance in China, and we will continue to work toward
this objective," said Mr. Xiaobo An,
founder and chairman of Hexindai. "We are taking comprehensive
actions to secure asset safety on our platform and build up
investors' confidence."
Hexindai acquires borrowers through both online and offline
channels. The Company verifies the borrower's intentions of
applying for the loan and makes sure all contracts with borrowers
are legitimate through CFCA signature authentication. China
Financial Certification Authority (CFCA) is the largest and most
authoritative electronic authentication service provider in
China.
The risk-based pricing is conducted by the Company's proprietary
risk control system, now named "Hurricane", which was developed by
Hexindai and operates in cooperation with a number of credit
information organizations and third-party Big Data risk management
companies. The Company and its partners have developed cutting-edge
technologies and modules for information verification, anti-fraud,
evaluation of repayment willingness and ability, and selection of
prime borrowers. Advanced technologies, such as facial recognition,
are applied to verify borrowers' identities. The "Hurricane" risk
control system has proved to be highly effective with years of
operation and data accumulation.
To enhance the Company's credit decision-making and fraud
detection systems, Hexindai has also partnered with global service
providers, including FICO, a leading US data analytics company
focusing on credit scoring services, for the FICO Decision Engine,
and GBG DecTech, an Australia-based provider of anti-fraud,
anti-money laundering, and decision management services, for the
GBG Instinct Anti-Fraud Solution. The FICO Decision Engine can
generate a credit score and loan amount for each loan applicant and
effectively evaluate their ability for repayment. With this prudent
verification and credit assessment process, only 23% of loan
applications submitted were approved at Hexindai in the fiscal year
ended March 31, 2018.
In the post-loan management process, Hexindai monitors the
borrower's repayments closely, flags any signs of non-payment, and
manages defaults. The Company actively collects borrowers'
information to monitor their financial condition and constantly
evaluate their repayment capabilities.
To cover the default risk of non-paying borrowers, Hexindai has
established a cooperative relationship with Changan Insurance, a
leading property and liability insurance company based in
Beijing. Changan Insurance
provides liability insurance coverage to investors and may take
legal action if required, to collect on outstanding loan
obligations.
"The core competitiveness of the online lending industry lies in
its risk management capabilities," said Mr. Xinming Zhou, Chief Executive Officer of
Hexindai. "We will continue to improve our risk management and
further reduce credit risk. We will also work closely with
regulators to ensure timely compliance and support the healthy and
sustainable development of the industry."
To provide better service for investors, Hexindai has hosted
dozens of offline face-to-face investor meetings this year to
understand investors' needs. The Company executives also provided
live-streamed webcasts to directly address investors' questions and
concerns.
In the backdrop of increased compliance requirements to ensure
the healthy growth of the industry, it is natural that
non-compliant platforms will be shut down, added Mr. Zhou. Only
fully compliant companies will become trusted platforms and enjoy
long-term growth.
About Hexindai Inc.
Hexindai Inc. (NASDAQ: HX) ("Hexindai" or the "Company") is a
fast-growing consumer lending marketplace based in Beijing, China facilitating loans to meet the
increasing consumption demand of the emerging middle class in
China. Hexindai provides borrowers
with convenient and ready access to credit through its online
marketplace. The Company offers borrowers a wide range of products
designed based on customer segmentation data and tailored to the
specific needs of the emerging middle class in China by matching them with investors seeking
various types of investment products with appropriate risk levels
and risk-adjusted returns. Hexindai's strong online and offline
user acquisition capabilities combined with an online platform with
extensive offline networks, an advanced risk management system, and
strong strategic cooperative relationships with a custodian bank
and an insurance company to safeguard investments, allows the
Company to generate higher customer satisfaction, reliance, and
realize faster growth in China.
For investor inquiries, please contact:
Hexindai
Ms. Daisy Wang
Tel: +86-10-5380-6196
Email: ir@hexindai.com
ICR Inc.
Edmond Lococo,
Tel: +86 10 6583-7510
Email: Edmond.Lococo@icrinc.com
View original
content:http://www.prnewswire.com/news-releases/hexindai-further-strengthens-risk-control-system-to-better-protect-investors-300695340.html
SOURCE Hexindai Inc.