Research On The Legal Issues Of Personal Credit Investigation In Internet Finance

The PBOC printed and distributed the Notice of Preparation for Personal Credit Investigation on January 1st,2015,requiring eight credit reporting companies to make preparations for engaging in credit reporting,the Credit Sesame,the Tencent Credit,Shenzhen Pengyun Credit were included.This indicates a significant progression towards marketization of personal credit reporting,and signify the personal credit system will be established by numerous internet companies,such as the Credit Sesame,the Tencent Credit.Moreover,the above personal credit system will be an important part of the credit system in our country.However,there are also many problems about regulation,supervision,information sharing and private information protection of the internet finance personal credit.Encountering this situation,it is necessary for us to make potential research on these legal issues.This paper firstly introduces the development history of internet finance personal credit and then takes the Credit Sesame as an example to make clearly its business modes,helping financial institutions identify and verify clients’real information and evaluate their credit status.The Credit Sesame accesses clients’credit status by five dimensions and the clients will be graded.Financial institutions can make use of the existing blacklist and anti-fraud techniques to reduce their own credit risks.However,due to its initial stage,the Credit Sesame has some weakness including its illegal data sources,poor personal information protection and weak network security.Hence,the research on the personal credit investigation of the Credit Sesame is of practical significance to some extent.This paper can be divided into four parts as follows:The first part: Firstly,This part introduces the meanings,development history of traditional personal credit and the internet finance personal credit and differences between them;secondly,this part defines the internet finance personal credit including its meanings and its innovations;thirdly,this paper lay emphasis on the characteristics of the internet finance personal credit as regard to traditional ones;finally,through the above introductions,this paper puts forward the necessity to strengthen the internet finance personal credit.The second part: This part takes the Credit Sesame as the example to introduce its business mode and existing legal issues.The legal issues includes relevant rulesand regulations,supervision system,data sharing and personal information protection.On this basis,points out that our internet finance personal credit lack of effective laws and regulations,the supervision system is imperfect,the information sharing channel is obstructed and the personal data protection is incomplete.The third part: This part mainly analyzes the legal issues caused by internet finance personal credit.It has following legal issues: the laws and regulations about the new personal credit are unsound,the regulatory system of internet finance personal credit is falling behind the developing situations,the information sharing mechanism has not been finalized,the individual information protection isn’t forthcoming.The fourth part: on the basis of the analysis of the above problems,this part puts forward the following suggestions: perfect the laws and regulations of internet finance personal credit,build up a strict and efficient regulatory system of internet finance personal credit,unify the crediting criteria of internet finance personal credit,establish the effective mechanisms to solve the disputes of personal information protection.