Research Of The Commercial Bank Security System

Bank secrecy system is not only an important guarantee for the protection oftrade secrets, but also an important part of the commercial banks and their customersrelationship, which plays a vital role for the protection of clients’ personal privacy. BothCommon law and Civil law have specific regulations that the commercial banks shouldbe responsible for the protection of customers’ privacy. Client confidentiality is thecornerstone of commercial banks as a credit institution, and the primary obligation ofthe commercial banks to follow the customers. Commercial banks should bear the dutyof confidentiality on customers’ information which obtained by funds transactions.However, while commercial banking secrecy has become increasingly developed, alongwith the complex social problems, the emergence of economic issues, commercialbanking secrecy also increasingly exposed some drawbacks. So the Secrecy systemcan’t be absolute and mysterious. Many countries draw up some exceptions to therules of secrecy provisions on the legal aspects. That is, in some particularcircumstances, to assist financial regulation, fighting against crime, tax investigation,the banks also have an obligation on the part of the customers’ information to bedisclosed.Our society of banking secrecy is still a lack of understanding. Despite theincreasing demands of citizens to strengthen privacy protection, few people realized theimportance of the system of bank secrecy laws for privacy protection of personalproperty, and legislation on bank secrecy provisions dos not form a complete legalsystem. With the opening up of China’s financial industry, a growing number of foreignbanks and other financial institutions will enter the Chinese market. Whether it is fromregulating financial markets or from the angle of regulating financial institutionssupervision, there is no doubt that the perfection of the legal system is vital. At the sametime, the commercial banking secrecy to combat the crime of money laundering, financial regulation, tax investigation work carries out causing a lot of obstacles, andeven the existence of the phenomenon of abuse of citizen privacy.Both neglecting of citizens’ financial privacy protection and financial privacyabuse can lead to serious social and legal issues. So we should take into account thepublic interest of the society while sounding commercial banking secrecy to protect theprivacy of the customers to find the balance point of the two. This article aims topromote the improvement of China’s commercial banking secrecy from a legalperspective, to co-ordinate the relationship between personal privacy and the publicinterest, and making some suggestions and recommendations related.