Study Of Commercial Bank Loan Guarantees, Legal Issues

Loan security of commercial banks is the best way to catch money for enterprises, and it takes an important position in the national economy of each country. Since the implementation of open and reform policy, the active development of loan security propels the whole Chinese economy forward into a sustained growing stage. The article expounds the current development status of loan security in China as well as the existing problems from the view of law, and suggests some solutions to these existing problems.The article is divided into three parts. The contents of chapter 1 serves for chapter 2 and chapter 3 by providing theoretically reference and distinguishing concrete system.In the chapter 1, the article expounds the bask meaning and characters of loan and security, and their important role in the economic development. Through reviewing the guiding thinking and the security modes of the Security Law, the article expounds the increasing important legal position of loan security. The writer thinks "Security Law" legally identifies various measures and scope of loan security. . In the chapter 2, on the basis of combining the development practice of loan security, the article analyzes the main problems existing along the development of loan security in China: vain security, unsatisfied security, fault security. It also gives deep exposition to the concrete manifestation of these problems and identifies there are much contradiction between the law theory and financial practice.In the chapter 3,through analyzing the problems existing in loan security, the writer thinks what is necessary for China to develop loan security is to change and improve legal protection system for loan security and suggests some solutions to the existing problems: a) to change and improve the law system. The author analyzes the "Security Law", the "Corporation Law" and the "Loan Rules" here, and the purpose is to smallen the distance between the theory and the practice, b) on thebase of the law that we have now, we must seek the best methods actively to avoid loan risk, c ) to establish scientific security modes, which the western countries have already used, to enrich cur warrant) practice, such as trust warranty, loan insurance and small- and middle-size enterprises credit guarantee system. What' more ,the writer tries to design a new warranty mode to protect our loan security of commercial banks, d) to establish avoiding morality risk system. Morality risk is a main cause to the formation of the financial risk in the view of economy. The writer tries to tell the morality risk how to hold back the economy development, and impose we must establish a law system of the avoiding morality risk.