A Study On The Legal System Of Internet Banking Supervision

In 2015, the first Internet-only bank officially opened, which operates only on the Internet without physical outlets, making it the first precedent of this industry. No branch line operation mode is the most attractive aspect. It broke through the limitation of time and space in traditional banking business, making it possible to establish the inclusive financial system and improve banking services. It has brought a new opportunity to achieve inclusive financial and to improve banking services. However, the Internet bank still has security problems because of the in-existence of physical outlets and the use of big-data cloud system, although it changes the current requirement of face-to-face system in loan transaction. The Internet bank is facing security challenges. And there are other problems. For example, can the consumers accept this kind of on-line banking mode? And can the Internet bank take on the heavy responsibility of establishing the inclusive financial system? All these problem start to arise continuously as the Internet bank was built still need to confirm. Therefore, it is much more important and necessary to set up the supervision law system for the Internet bank on the basis of the existing legal framework.This article will be divided into five chapters. The introduction describes the purpose of research and the research significance, the research status, in China and abroad and the research methods and the research innovation, explaining the background of this paper. Chapter one is about the definition and characteristics of Internet bank. With the development of society and the improvement of science and technology, the definition of the Internet bank has been changed a lot. Thus, it is the first thing to clarify the concept of the Internet bank at different times. And the most prominent characteristic of the Internet bank is its unique operation pattern, which causes both security risks and legal risks. So it is the second thing to another important issue is to summarize the characteristics of the Internet bank. Nowadays, our country has two other types of financing institutions operating via the Internet. One is the traditional online bank business, the other is P2 P loan transaction. Because of its similarities with the Internet bank, this article will compare them with the Internet bank, analyzing the main existing risks in the current operation and the supervision measures. Chapter two I states the existing problems in the development of the Internet bank in our country at present stage. Because the operational risk of the Internet bank is much more complex that the ordinary ones, this part will summarize the unexpected Internet banking risks and the relevant supervision problems produced in the future. Chapter three describes the current situation and the supervision regulations of the American and Japanese Internet bank because of their two-type mature system of supervision regulations, including the laissez-faire one and the government-oriented one. In this part, I will discuss the characteristics about their Internet bank first and then analyze their supervision patterns in order to help establish our country’s supervision system.Studying in modes of regulation of the two countries I hope to learn some regulatory experience to establish the supervision system of our country. The final chapter, which is related to the chapter two, will offer some specific suggestions to establish Internet bank’s supervision system with the combination with our bank supervision law,solve the second part’s problem, combined with our current law, put forward regulatory suggestions, in order to establish the Internet bank legal supervision system. in case of the possible risks of the Internet bank operation.