1. A licensed financial institution refers to an institution that has obtained the corresponding financial business license with the approval of the regulatory authorities. Under the supervision of laws and regulations, regulate and supervise the loan interest rate and handling fee, and provide users with legal and transparent loan services. When users use mobile phone loans provided by licensed financial institutions, they can rest assured of loans. They should read the terms of the contract carefully and learn about the loan interest rate, repayment method and other related information.
2. Mobile phone loans provided by unlicensed financial institutions have certain risks. Without the approval of the regulatory authorities, it lacks the corresponding financial business qualifications. In terms of interest rate and handling fee, there are unreasonable charging methods, which bring unnecessary economic burden to users.