Modern Consumer Credit And Development In China

Modern consumption credit has gradually developed along with industrialization and urbanization 0 Based on different classification standard, classification of modern consumption credit is different. To develop and enlarge consumption demand and to develop modern consumption credit is an inevitable choice for our economic development and further financial reform.Any factors affecting directly or indirectly purchase desire and purchase capacity will influence demand of modern consumption credit. As a financial business, supply of modern consumption credit depends on many other factors as other financial business does.Impetus pushing development of modern consumption credit comes from quick economic development, rise of consumers' income, increase of variety of consumption products, improvement of consumption products and a variety of consumption credit provided to consumers by modern consumption credit suppliers.Since the end of 1990s. Chinese modern consumption credit has developed quickly. Under the government's policy to encourage consumption and modern consumption credit and all commercial banks participating actively, the balance of consumption credit has increased continuously and usage of loan has become larger and larger, but consumption credit started late at a low level in our country. Neither the market scale nor its development level can match that of western developed countries. All policies, systems, laws, cultures etc. have impeded development of modern consumption credit.Therefore. \ve must combine both interior and external strength to develop modern consumption credit. Through the hard work of government, banks, retail traders, consumers, etc., Chinese modern consumption credit will gradually follow a prosperous and healthy development road.