Dec. 3 at 8:17 PM
$LU $QFIN $FINV $YRD A 20% cap is coming so pick your player carefully. My bet is on LU. The October 2025 rules require banks to take full responsibility for credit assessment, risk scoring, loan approval and post loan management. Banks must now use their own models, validate any third party tools and document their decisions more rigorously. This shifts many functions that fintech platforms previously handled, including scoring, modeling, acquisition and collections, back inside the banks. As a result, banks are required to rely less on platform provided risk engines and are negotiating WAY lower service fees. LX, QFIN, FINV, YRD, etc. are already showing fee pressure, with lower net revenue per loan and downward adjustments in service fee rates as banks internalize more of the required work but the pain is just starting. LU is not affected since it operates through licensed guarantee and almost all revenues come from bearing credit risk and not bank fees. Game changers!
