Discussion On The Lender's Capital Safety Protection Of Chinese Online P2P Lending Platform

Since the beginning of the P2 P lending, it had attracted thousands of lenders with its novel way of borrowing and by daring to break the traditional concept of borrowing. The emergence of P2 P lending had brought great economic benefits to lenders, but the P2 P lending industry in our country is still in a good and bad intermingled state at present, the escaping of the platform, the defaulting of the borrowers, the fund-raising fraud and other frequent malignant events. This phenomenon has spread to the campus, "E Rent Treasure" event has triggered a nationwide sensation. There are several factors caused this situation: the legality of the P2 P lending is not accurate, the credit system is not perfect, the information disclosure system is not sound, the self-discipline function of the industry association had not been fully played and so on. Under this kind of legal environment, the Internet Financial Guidance and the Network Information Intermediary Business Lending Interim Management Measures(Draft For Comment) established the position of the P2 P lending platform as the information intermediaries, lenders themselves take the risks, it had brought great risk to the lenders, especially the lenders' funds safety may not get effective protection. If the P2 P lending industry wants to achieve a long-term development, protecting the lawful rights and interests of the lenders, especially the capital safety cannot ignore. In order to make the P2 P lending platform to effectively ensure the rights and interests of lenders, first, we should clear the responsibility of the regulatory authorities to protect lenders' legitimate rights and interests, it includes mandatory disclosure, strengthening the self-discipline function in the role of lender protection of the industry association; second, we should establish a set of legal system including access and exit mechanism for P2 P lending, besides, we should standardize the business conduct of the platform by the following aspects: preventing the platform from building funding pool, strengthening the audit obligation and demonstrative obligation of the platform, regulating the propaganda behaviors of the platform, realizing the bank custody; third, we should try to complete our country's credit system to reduce the risk which brought by the non-performing loan applicants to the lenders; last, there should be certain limit on the protection of the lenders' funding safety.This article consists of five sections as follows:The first part illustrates the lenders' important position in the process of P2 P lending through analyzing the operation mode in our country and the relationship in the P2 P lending, so we can realize the importance of strengthening the protection of the rights and interests of lenders.The second part puts forward the potential risk that lender may encounter in the process of investment. The risk may be caused by the borrowers, platform, secured party and the insurance party, in addition, the lack of certain limit on the protection of the lenders' funding safety bring some difficulties.The third part introduces the difficulties which lenders face in the protection of the P2 P lending. On the one hand, the P2 P lending is a new type of thing, regulatory rules, accessing conditions are not ready. The rules which establishes the platform as the information intermediary doesn't match with the imperfect credit system in our country. The weak position of lenders cannot bear the risk. The weakness of the selfdiscipline enlarged the hole of the lacking of the government supervision.The fourth part introduces the foreign experience. Britain is the birthplace of P2 P lending, America has produced the world's first listing P2 P lending platform. The civil law countries have not yet set up perfect the protection mechanism of lender on P2 P lending, drawing lessons from these two countries' relevant experience on P2 P lending will get enlightenment function.The fifth part puts forwards the suggestion about constructing mechanism of lender protection on P2 P lending in China. First of all, we should determine the basic idea of rights and interests protection, both to safeguard lenders' legitimate rights and interests, and to respect the Internet financial innovation. The second is to concrete system constructing, it concludes clearing the responsibility of the regulatory authorities to protect lenders' legitimate rights and interests, establishing a set of legal system including access and exit mechanism for P2 P lending, regulating the propaganda behaviors of the platform, mandatory disclosure and other ancillary facility, and there should be certain limit on the protection of the lenders' funding safety.