On Research Of The Prevention Of Individual Creditor’s Legal Risk In China’s Private Lending Activities

Private lending activities is the cash lending between person to person,person to non-financial organization.As the private lending have the characteristics of free currency,thus it can reach the people’s need of living and transfers of small funds.private lending activities Have the Characteristics of Instantation convenience,and flexiblities.So it play a supplementary role to Bank credit.China’s private lending as a more traditional form of financing,in recent years,because of the social capital demand scale unceasing expansion,China’s private lending in terms of speed and scale,there are suprisingly rapid development.As there is no special Private lending activities credit laws and regulations,so in practice the inevitably exists a series of problems,easy to trigger a civil and economic dispute.Non-goverment credit loan lenders in borrowing the legal relationship of the funding side,because currernt our country is lacking on folk debit and credit to perfect laws and regulations,the lender’s risk is very high, folk credit lack of normative legal conscious,and mutual borrowing of arbitrariness,led to the folk loan lender in under the loans cannot be recovered by the huge risk.Legitimate private lending is protected by law,is the normal financing behavior.The government crackdown is in private lending usury,illegal fund-raising and other illegal acts.Therefore the lender shall esta more properly borrowing view.We should attach importance to sign the contract and on the borrow’s credit was investigated and the the relevant departments of the state will effectively improve the investor’s risk identification and risk prevention awareness,in the whole society to popularize the knowledge of civil and commercial laws,culture lender’s legal concept of investment.