Concerning The Perfection Of Chinese Legal System Of Consumer Credit

Consumer credit is offered by lenders to consumer to support his consumption on some specific commodity. With the purpose to stimulate consumption, expand sales, and accelerate the commodity turnover.the consumer credit is based on the future income of the consumer. It is a credit relationship between the lenders and the consumer. The borrowers should have a certain capacity to pay. Consumer credit is an important part of market economy, is an important way for a country to stimulate domestic demands, is an important tool for commercial banks and other financial institutions to profit, and is an important channel for consumers to improve their living conditions. The development of consumer credit in China started in the50’s of last century; steady development began in the90’s of the last century. Development up to now, China’s consumer credit in the shape also causes some problems. The history of the development of consumer credit in developed countries has formed a complete legal system. It is worthy to learn something from Anglo American law. In order to better promote the development of consumer credit, it is necessary to make special laws to offer security.With the purpose to propose the legal advice for the development of consumer credit in our country, this paper analyses the development of consumer credit in China and its problems in its first part. It points out the definition and its types and its important function in the market economy. Then, it analyses the current situation of legislation of consumer credit in China and existing problems. Analysis the use of several laws and regulations on consumer credit in China and points out the problems:the laws and regulations to adjust the consumption credit rank is low, lack of risk prevention mechanism, the lack of effective protection of the rights and interests of consumers. The third part is the study of foreign developed countries, consumer credit legal system from the aspects of scope of application, information disclosure, borrowers withdraw rights, lenders protection etc.. Finally put forward the legal suggestions on the development of consumer credit in China:the construction and perfect special consumer credit legal system, regulating object, clear the consumer credit law of the consumer credit legislation, perfect consumer credit personal credit system, establish credit publicity system, perfect consumer credit guarantee system, perfect consumer credit offense system. With the continuous development of social economy, the consumer credit plays more and more important role in on all aspects market economy. Consumer credit will help to improve the living standards of residents and change the consumption habits. It creates profit to financial institutions, at the same time to help to improve the use of funds utility. It expands domestic demand, at the same time, helps the government to adjust the industrial structure. Based on the importance of consumer credit, it is necessary to establish a specialized consumer credit legal system, to make the healthy development of consumption credit and urge it works better in the market economy.