China Banking and Insurance Regulatory Commission and People's Bank of China, Tentative Measures for the Administration of Online Petty Loan Business (Draft for Comments)
中国银行保险监督管理委员会、中国人民银行网络小额贷款业务管理暂行办法 (征求意见稿)
November 13, 2020 | BY
Susan MokCBIRC regulates online small loans that use big data
Issued: November 2, 2020
Applicability: For the purposes of these Measures, the term "online petty loan business" means petty loan business wherein a microfinance company employs technical means such as big data, cloud computing and mobile internet, and uses internally generated data and information on client operations, online consumption, online transactions, etc. accumulated on an internet platform and other data and information obtained through legal means to analyze and assess the credit risk of borrowing clients, determine loan methods and limits, and complete online procedures such as loan application, risk assessment, loan approval, loan extension and loan recovery (Article 2).
Main contents: A microfinance company that engages in online petty loan business shall mainly do so in the provincial-level administrative region where it is registered; without the approval of the State Council's banking regulator, a microfinance company may not engage in online petty loan business in other provincial-level administrative regions (Article 2).
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