Practicing refinancing private lending! Four illegal activities are strictly prohibited and bank employees are not allowed to participate

Home > Finance

Practicing refinancing private lending! Four illegal activities are strictly prohibited and bank employees are not allowed to participate

2018-05-04 20:26:16 139 ℃

Pictures from the studio:

In the face of "naked loans," which have been frequently exposed in the past year or two, With regard to issues such as "on-campus loans," and violence collection, the relevant departments have finally redoubled their efforts to rectify the problems.

On May 4, the China Banking Regulatory Commission, the Ministry of Public Security, the State Administration of Market Supervision, and the Central Bank issued a joint circular on the “Regulations Concerning the Regulation of Non-governmental Lending Behaviors to Protect the Economic and Financial Orders” (Guangdong Insurance [2018] No. 10) It is required to adhere to the principle of governing according to law, tackling both the symptoms and the roots, involving multiple measures, and combining evasion and blocking, further standardizing private lending practices, cracking down on related illegal activities, purifying the social environment, and maintaining economic and financial order and social stability.

The "Notice" clarifies the credit principle and proposes four prohibitions on private lending, specifically: p>

In credit terms, the “Notice” emphasizes that no unit or individual may set up an agency that engages in or is mainly engaged in the issuance of loans, or Business Activity. In private lending, the lender’s funds must be its own funds for legitimate income, and it is forbidden to absorb or disguise other people’s funds for lending.

Four illegal activities are strictly prohibited:

Strike to crack down on the use of illegal fund-raising funds such as the illegal absorption of public deposits and disguised absorption of public deposits to disburse private loans.

Severely crack down on illegal loans such as intentional harm, illegal detention, insult, intimidation, threats, and harassment.

Severely cracked down on the withdrawal of credit funds from financial institutions, and then turned to high-profit loans. Strictly crack down on illegally distributing loans to students at school, issuing non-designated loans, or actually charging high interest (expenses) in the name of providing services and selling goods.

It is strictly forbidden for employees of banking financial institutions to act as principal members or actual controllers to organize organized private lending.

The Situation of Private Loan Illegal Activities

> The relevant person in charge of the China Banking Regulatory Commission stated that in recent years, private lending has developed rapidly, but illegal activities with violent collection as the main performance features have become increasingly fierce, severely disrupting economic and financial order and social order, and hindering the healthy development of normal financial activities. The "Notice" aims to further standardize private lending practices, guide the healthy and orderly flow of private funds, prevent financial risks, crack down on financial and criminal activities, purify the social environment, and maintain economic and financial order and social stability.

The “naked loan” news that has been frequently exposed in recent years is shocking.

Non-debt means borrowing the borrower’s ID card and nude photos to replace the loan when borrowing. Bare-end borrowing is worth paying attention to. Female college students use naked photos to obtain loans. When a default occurs and the loan is not repaid, the lender has to force the borrower to repay the loan by using public nudity photos and means of contacting the borrower's parents. On January 19, 2017, the police in Dingxi, Gansu, captured a “naked strip” lender and detained criminal suspect Yang by criminal extortion.

Influenced by the chaos of "credit on campus" and "naked loans", usury, violent collection, etc. On April 10, 2017, the China Banking Regulatory Commission issued the "Guiding Opinions on Risk Prevention and Control of the Banking Industry." "It is pointed out that we must focus on the clean-up and rectification of "campus loans" and "cash loans", and explicitly prohibit the provision of online loan services to college students under 18 years of age.

Subsequently, the office of the Leading Group of the P2P Network on Refining of Loan Risks under the China Banking Regulatory Commission issued the "Notice on the Implementation of the "Cash Loan" Business Activity Clearance and Reorganization Work" and related documents to various localities. "Cash loan" is included in the special rectification of Internet financial risks.

The “Notice” stated that the regulation of private lending practices should adhere to the principles of governance in accordance with the law, simultaneous treatment of the symptoms, multiple policies, and the combination of blocking, further standardizing private lending practices, and guiding the healthy and orderly flow of private funds. Relevant illegal activities are severely cracked down, purifying the social environment, safeguarding economic and financial order and social stability.

Explicitly banned 4 illegal activities

The "Notice" in the principle of credit for private lending, source of borrowing funds, prohibition of illegal activities, legal investigation, etc. Be clear.

The "Notice" emphasizes that no unit or individual may set up an agency that engages in or mainly engages in the issuance of loans without the approval of the competent authority according to law.To issue loans for daily business activities.

In private lending, the lender’s funds must be its own funds for its legitimate income, and it is forbidden to absorb or disguise other people’s funds for lending. In case of disputes over private lending, it shall be handled in accordance with the “Provisions of the Supreme People's Court on Several Issues Concerning the Application of Law in the Trial of Private Lending Cases” (Legal Release No. [2015] No. 18).

It is worth noting that the "Notice" also lists four illegal activities that are strictly prohibited, pointing directly to the current chaos in the private lending sector:

1. Illegal absorption of public deposits, disguised absorption of public deposits, and other illegal fund-raising funds to grant private loans.

2. Strictly crack down on illegal means such as intentional injury, illegal detention, insult, intimidation, threats, and harassment to collect loans.

3. Strictly crack down on the withdrawal of credit funds from financial institutions, and then transfer from high-profit to on-lending. Strictly crack down on illegally distributing loans to students at school, issuing non-designated loans, or actually charging high interest (expenses) in the name of providing services and selling goods.

4. It is forbidden for employees of banking financial institutions to act as principal members or actual controllers to organize organized private lending.

In the meantime, the “Notice” also clearly states the manner of investigation and handling of violations of the above four prohibited activities:

(1) Use of illegally absorbed public deposits , disguisedly absorbing public deposits and other illegal fund-raising funds to grant private loans, and using illegal means such as intentional harm, illegal detention, insults, intimidation, threats, and harassment to collect private loans, and withdraw credit funds from banking financial institutions; The acts of public security administration or suspected criminal activities shall be investigated and dealt with by the public security organ in accordance with the law, and the relevant materials for the illegal distribution of private loan activities shall be transferred to the banking supervision and management institution.

(2) Where a banking financial institution employee participates in illegal financial activities, the banking financial institution shall be disciplined and constitute a crime and shall be severely investigated for criminal responsibility in accordance with the law.

(3) For intermediary agencies engaging in private lending consultation services, the industrial and commercial and market supervision authorities shall strengthen supervision according to law.

Favourite complaint Post
Latest Comments

    View More Comments Loading Failed Please click Reload All Comments Ticker China

    Committed to providing the most timely financial information, the most professional interpretation of the analysis, covering the macroeconomics, financial institutions, A-share market, listed companies, investment banking and other financial fields.

    + Follow
    Related News

    Online Drugs and Drugs 11010502033561 Information Service Qualification Certificate Beijing Nettext [2015] 0377-157 Beijing ICP No. 140123 No.

    Report E-mail: tousu@yidian-inc.com Company Name: Beijing Little Network Technology Co., Ltd.

    ');})();