A Study On The Deposit Insurance Law System In China

As one of the three components of financial safety net, Deposit Insurance System(DIS)can help to maintain the public's confidence in banks, to avoid deposit squeezing and to reduce the chain bankruptcy, so it has been widely accepted among countries. Most of developed countries and many developing countries have established the deposit insurance system according to their own situations. Our country is actively constructing the deposit insurance system, but there are many problems and obstacles. In the end of 2006,China promulgated the "Regulations on the management of foreign banks". According to the legal paper, there will be no location and customer restrictions to the Ren min bi area, which also encourages the foreign banks to register in china. The coming of the foreign banks, the reformation of the ownership of the state owned banks, and the increase of the private banks have all made our financial environment more and more complicated . So it is significant to research on the deposit insurance legal system.There're 6 sections of this paper, about 35000 words. The writer will make use of some investigative methods such as demonstration analysis, comparison analysis, history analysis and deductive method to demonstrate the topic.Some suggestions are made on the deposit insurance system, involving the insured, insurance coverage, premium rate, limit of liability, the management of the deposit insurance funds, etc. In chapter 3 the writer discuss the problem of moral hazard and how to control and prevent from the negative influences of the moral hazard by designing a commendably operational system. At last, supporting laws should be perfected to ensure the effective enforcement of deposit insurance system, such as social credit law, banking information disclosure law, internal controlling law, risk evaluation law, market withdraw law, and so on.