Legal Regulations Of P2P Network Lending

P2P network lending as one of the new financial models meet the personal financial needs, improve the utilization of idle funds and develop the personal credit system. It is a beneficial supplement to the traditional financial system. The imbalance of Credit structure in economic, the rebound of laws suppress and the policy supporting are real motivations of the rapid development of P2P network lending. Confined to trade illegal operations, inadequate legal system supply, the lack of supervision and other legal and external factors, the development of P2P is basically in a state of anomie. The operating models departing from the original form of information intermediaries, derived the models of guaranteeing and creditor’s rights transferring gradually, breed a variety of legal issues and potential risks. P2P network lending as part of the Internet network of financial, demanding the regulations with internal motivations. Exploring the legal and regulatory paths of P2P, taking the regulation based on the classification of qualitative classification, focusing on legal regulation and industry self-regulation both at the same time,improving the credit system, building information sharing mechanism, innovating the initiatives of counter-guarantee, seeking the balance between the financial innovation and legal regulation continuously.The paper is divided into five parts. The first part clarify the differences between P2P network lending, private lending and commercial bank lending, explore the real motives of P2P from policy, economy and law levels. The second part is about the three operating models of P2P network lending summarized that information intermediaries, the models of guaranteeing and creditor’s rights transferring. On the basis of these, analyzes the legal relationships between the various modes involved. The third part discusses the legal risks of P2P network lending, analyzes the legal issues and legal risks that borrowers, investors and lending platform may arise. The fourth part describes the legal basis of the legal regulations firstly,and then point out the difficulties of the legal regulation in order to countermeasure proposals later endowed with relevance and effectiveness. The fifth part make some suggestions of the legal regulations on the basis of Anglo-American countries’advanced experiences to seek the balance between the financial innovation and legal regulation continuously.