National Microfinance Policy Requirements

According to the relevant regulations, the lender can only apply if there are no illegal acts and bad records (those with bad credit records for more than three times will not be handled), the projects invested by the established economic entities conform to the relevant national laws, regulations and policies and have obtained industrial and commercial business licenses, or the retired military personnel who are unemployed in cities and towns (valid certificates of retirement should be provided), but the loan target must be China citizens with fixed residence, certain labor skills and full capacity for civil conduct.

Legal basis:

People's Republic of China (PRC) Civil Code

Article 667 A loan contract is a contract in which the borrower borrows money from the lender, repays the loan at maturity and pays interest.

Article 680 usury is prohibited and the loan interest rate shall not violate the relevant provisions of the state. If there is no agreement on the payment of interest in the loan contract, it shall be deemed that there is no interest. If the loan contract does not specify the payment method of interest, and the parties cannot reach a supplementary agreement, the interest shall be determined according to the local or the parties' trading methods, trading habits, market interest rates and other factors; Loans between natural persons are regarded as interest-free.