THE INFLUENCE OF THIRD PARTY PAYMENT ON CHINESE COMMERICAL BANKS

Abstract

With the rapid development of Internet technology, the Internet has also brought about a huge and profound change in the business model of the financial industry. Among them, the third-party payment has the most profound impact on commercial banks and financial systems. This study is a method of quantitative research using secondary data from five Chinese commercial banks from 2009 to 2018. The factors influencing the development of the third-party payment platform of commercial banks are elaborated in detail. This study explores some of the factors that third-party payments affect Chinese commercial banks, including their own GDP growth rate, non-interest income ratio, bank deposit-loan ratio, non-performing loan ratio, and commercial bank’s asset return ratio. On this basis, countermeasures and suggestions for commercial banks facing the impact of third-party payment platforms are put forward.