People's Bank of China and China Banking Regulatory Commission, Guiding Opinions on Enhancing Financial Support to New Consumption Sectors

Main contents: The Opinions encourage qualified banking financial institutions to establish institutions that specially cater to new consumption sectors (Article 1). They encourage banking financial institutions to consider using new technical means, such as the internet, to carry out remote customer authorization to realize online application for, and approval and extension of, consumer loans (Article 3).

A financial institution that has been granted approval by the China Banking Regulatory Commission to engage in the business of providing personal motor vehicle loans may, when handling the procedures for a loan for an alternate energy vehicle or used vehicle, decide the percentage of the down payment at its own discretion on the basis of the minimum requirement of 15% or 30% respectively and the principles of prudence and risk controllability (Article 8). Motor vehicle financing companies are permitted, when providing motor vehicle purchase loans (or lease financing) to consumers, to provide, as desired by such consumers, financing for additional products accessory to the vehicles purchased by them (Article 5).

clp reference:3700/16.03.24 issued:2016-03-24