First of credit co-op takeovers occurs

According to Yin, no matter how the banks go about it, the risks are are a big headache.

"Since the banks would have to pay for the residual value of the credit cooperatives, they will bear the risk that lots of bad loans may come out after the merger. Before that problem can be solved, the banking sector will be unwilling to take over the credit cooperatives," said Yin.