"Banks are the most formal lending institutions, with guaranteed sources of funds and post-loan management, and relatively low loan interest rates. Secondly, there are platforms with Internet micro-loan licenses, such as Ant Borrowing, JD.COM Gold Bar and Baidu Spending. Finally, some head P2P platforms can also be used as alternative channels. "
Now the credit products on the market are really mixed, both formal and informal. So, how to tell whether the loan is formal?
Characteristics of formal online lending
1, loan threshold: Regular Internet loans have a relatively complete risk control system, which requires the lender's age and credit history. Claiming that you don't check the credit information, you only need an ID card, and you have to fill in all kinds of personal information and contact information when you click in, which is basically not standardized.
2. Charge: The term loan will not be charged in advance, and the loan amount will remain unchanged. When some borrowers borrow money online, they are reminded that they need to pay a handling fee or deposit before they can lend money. These are probably frauds, so we must be vigilant. In addition, the interest and expenses of formal loans are transparent, and all related expenses can be found in the loan page and agreement, and there will be no arbitrary charges.
Formal loan companies are more reliable. Formal loan companies are permitted by law, and the conditions for the establishment of non-bank financial institutions approved by the industrial and commercial departments are also very harsh. Therefore, formal loan companies are still relatively few in principle. However, many swindlers cheat under the banner of small loan companies, which makes borrowers suffer losses. To judge the authenticity of small loan companies, we need to start with their business qualifications.