General Office of the China Banking Regulatory Commission, Guidelines on the Depositary Business for Peer-to-peer Loan Proceeds

For the purposes of these Guidelines, the term “depositary” means a commercial bank that provides fund depositary services for P2P loan business (Article 5).

For the purposes of these Guidelines, the term “dedicated P2P loan proceed depositary account” means the proceed depositary summary account opened by the principal with the depositary, including the sub-accounts under the proceed depositary summary account opened by borrowers, lenders and guarantors (Article 6).

Main contents: The principal shall provide true and accurate transaction information and data, and relevant legal documents to the depositary, including but not limited to information on the P2P loan information intermediary parties, transaction instructions, lending information, fees and service information, and loan contracts. The depositary shall not be responsible for reviewing loan project and loan transaction information for genuineness, nor bear liability for the truthfulness, accuracy and completeness of P2P loan information and data. The principal shall bear the attendant liability for business risks and losses arising from its deliberate fraud, forging of data or data errors (Article 20).

Related legislation: Tentative Measures for the Administration of the Business Activities of Peer-to-peer Lending Information Intermediaries

Issued: February 22 2017

Effective: as of date of issuance

Applicability: For the purposes of these Guidelines, the term “P2P loan proceeds” means the dedicated loan proceeds and related funds that a P2P loan information intermediary, as the principal, places in the custody of the depositary engaged by it and that arise in the course of the investment and financing activities carried out by borrowers, lenders and guarantors (Article 2).

For the purposes of these Guidelines, the term “principal”, namely the P2P loan information intermediary, means a financial information intermediation company established in accordance with the law that specializes in engaging in P2P loan information intermediation business activities (Article 4).

For the purposes of these Guidelines, the term “depositary” means a commercial bank that provides fund depositary services for P2P loan business (Article 5).

For the purposes of these Guidelines, the term “dedicated P2P loan proceed depositary account” means the proceed depositary summary account opened by the principal with the depositary, including the sub-accounts under the proceed depositary summary account opened by borrowers, lenders and guarantors (Article 6).

Main contents: The principal shall provide true and accurate transaction information and data, and relevant legal documents to the depositary, including but not limited to information on the P2P loan information intermediary parties, transaction instructions, lending information, fees and service information, and loan contracts. The depositary shall not be responsible for reviewing loan project and loan transaction information for genuineness, nor bear liability for the truthfulness, accuracy and completeness of P2P loan information and data. The principal shall bear the attendant liability for business risks and losses arising from its deliberate fraud, forging of data or data errors (Article 20).

Related legislation: Tentative Measures for the Administration of the Business Activities of Peer-to-peer Lending Information Intermediaries