Legal Issues Research About Folk Lending Networks Platform

With the popularity of the Internet, network brings people not only convenient life andmore brings the change of way of life. Under the time background, a combination ofInternet and microfinance "person-to-person"(Person to Person peer-to-peer (P2P) networkquietly log in our country and associated with this is the carrier of borrowing--, the folklending network platform were set up. through this kind of network platform, with the clickof a mouse capital demanders can easily get little hundreds of yuan, many tens of thousandsof yuan from strangers; Corresponding to this is that funds idle person who never leavehome, may gain more than20%of interest income. Net lending platforms emerge likebamboos after a spring rain,developing rapidly.Origin is the earliest Zopa, in March2005inBritain and Prosper, Lengding Club website in the United States.There are many otherInternational folk lending to network platform,such as Auxmoney from Germany, Aqushfrom Japan, Popfunding from South Korea, Communite from Spanish, Uppspretta fromIceland, Fairplace from Brazil. Four of the most typical domestic lending network platformis Paipaidai, Yixin, red ridge venture capital and Qifangwang. As folk lending networkplatform has more and more plunged into people’s lives, the online lending patternsgradually exposed some risks, such as network bring the default risk to unsecured loanguarantees; Site was suspected of illegal fund raising; Website holds a large number ofborrowers of all kinds of detailed information, how to ensure the information security fromleakage; Informal lending networks platform USES outflow of funds to the nationalmacroeconomic regulation and control the impact, and so on. In reality, the folk lendingnetwork platform still go in and out of the grey area and regulatory blind area, question ofhow to allocate the site regulatory functions between branch, the ministry of industry andcommerce system should be addressed. Through the describing about the working mode ofthe network of lending platform and compare to other lending pattern,as well as a summaryon features and advantages of the network credit platform are described, this article holds thatthe network credit platform is a more advanced, convenient, innovative new things.Thedevelopment of network lending platform is necessary to small and medium enterprises,industrial and commercial businesses individuals and the natural persons to solve theirdifficult financial problem,to expanse their investment channels, to make the borrowingprocess exposed, and rely on a variety of different system designed to strengthen the review before the loan and post-loan risk management, which helps solve the problem about hiding.Besides, network platform for borrowing can do something about the chronic disease,including usury, illegal fund-raising, and illegal violence collection and other problems, andmake up the unwholesome social security system. Although the network credit platform existvarious risks, we should adopt the encouraging and supporting, supervising and guidingpolicy. Law and policies should encourage the development of the network lending platformon the two aspects of the internal mechanism and nurturing the external environment ofnetwork lending platform.