The credit card bad debt transfer market is heating up and the industry is exploring new efficient ways to deal with it.

Recently, the market activity of transferring non-performing assets of credit card overdrafts has increased. According to statistics, since November, the Credit Assets Center has issued 23 announcements for the transfer of personal non-performing loans related to credit card overdrafts. Journalists found that the current market is showing a clear new trend: some banks are beginning to explore the transfer of asset packages with an average overdue period of only about half a year. In addition, the proportion of non-litigated non-performing assets is relatively high. Industry insiders believe that bulk transfer of non-performing assets has become an important mode for banks to dispose of retail non-performing assets. In the future, the pilot scope can be further expanded to introduce individual investors with stronger risk tolerance; at the same time, attention should be paid to technological empowerment, utilizing big data and AI technology, to make more accurate predictions on the recovery rate and disposal period of non-performing assets, achieving effective risk control.