Legal analysis: It is generally legal to be a loan intermediary. However, the intermediary institution should be a financial information intermediary company established in accordance with the law and specialized in lending information intermediary business activities. Lending information intermediaries shall follow the principles of legality, honesty, voluntariness and fairness, provide information services for both borrowers and lenders, safeguard the legitimate rights and interests of both borrowers and lenders, and shall not provide credit enhancement services, directly or indirectly raise funds or illegally raise funds, and shall not harm the national and social public interests. As long as its behavior violates the relevant contents of the Measures for the Administration of Intermediaries, the loan intermediary will still be punished as an illegal act.
Legal basis: Civil Code of People's Republic of China (PRC).
Article 961 An intermediary contract is a contract in which the intermediary reports to the client the opportunity to conclude a contract or provides media services for concluding a contract, and the client pays the remuneration.
Article 962 The broker shall truthfully report to the client the matters related to the conclusion of the contract.
If the broker intentionally conceals important facts related to the conclusion of the contract or provides false information, which harms the interests of the client, he shall not ask for payment of remuneration and shall be liable for compensation.