Minsheng Bank's credit card center has drawn market attention with a transfer announcement posted on the Banking Asset Registration and Circulation Center's website.
The announcement pertains to the 2025 sixth-phase transfer of non-performing personal loans (credit card overdrafts). The asset package includes an outstanding principal of approximately 2.447 billion yuan and accrued interest of 2.695 billion yuan, totaling 5.142 billion yuan. It involves 147,779 borrowers across 148,351 loans, with a weighted average borrower age of 42.79 and an average delinquency period of 1,856.28 days.
While non-performing loan transfers are common, Minsheng Bank has imposed unique conditions on potential buyers. The bank requires acquirers to commit to lawful disposal methods, prohibits resale of the asset package, and strictly bans violent debt collection practices—including outsourcing to agencies with records of illegal or coercive tactics.
This move comes as Minsheng Bank seeks to revamp its reputation. Consumer complaints, particularly about aggressive collection tactics, have surged, with over 5,290 grievances logged on public platforms, many citing harassment of family members and excessive calls by third-party collectors.
The bank faces mounting challenges in asset quality. By Q3 2025, its total assets edged up 0.74% year-to-date to 7.87 trillion yuan, but loans and advances shrank 0.31% to 4.43 trillion yuan, now representing 56.36% of assets. Meanwhile, non-performing loans rose 0.38% to 65.857 billion yuan, pushing the NPL ratio to 1.48%.
Notably, "doubtful" loans jumped 21.21% to 14.63 billion yuan, while "loss" category loans grew 10.76% to 37.049 billion yuan. Corporate NPLs are concentrated in real estate, manufacturing, and leasing/services, accounting for over 70% of the total.
Credit impairment losses ballooned 28.16% YoY to 40.165 billion yuan in the first nine months, driving up operating expenses and squeezing profits. Despite a 6.74% revenue increase to 108.509 billion yuan, net profit attributable to shareholders fell 6.38% to 28.542 billion yuan.
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