From Beijing Jade Bird Closure Of Storm To See Our Commercial Prepaid Card Regulatory System Perfect

With the technology development and the objective need for innovative micro-paymentservices market, the commercial prepaid cards have a rapid development. Due to prepaidcards have strong vitality and its scope of use is expending, the commercial prepaid cardshave penetrated into many aspects of people’s lives within a few years. Incompatible with thedevelopment of commercial prepaid cards, there are loopholes in our regulation ofcommercial prepaid system, which makes the problem has become increasingly prominent ofcommercial prepaid cards in practice. Card issuer can accumulate a large number of funds inshort-term through the issuance of commercial prepaid cards, these funds are generally notincluded in the financial ledger, so that these funds drifted away from the outside of thesystem of financial regulation, which will not only disrupt the financial order, and even causesome financial risk. In practice, the event which is also harmful to the legitimate rights andinterests of consumers often happens. Due to the commercial prepaid cards’ convenience andliquidity, some briber make intuitive cash hidden in the prepaid cards which make it becomesa tool of bribery and foment corruption phenomenon. Because business prepaid cards bearer,some businesses in order to increase their sales revenue, maximize meet the requirements ofindividual consumers or units may be become the way of money laundering. Therefore, weshould face up to the problems of commercial prepaid cards, supervise and guide thecommercial prepaid cards appropriately, not only is the objective requirements of thedevelopment of commercial prepaid card market norms, but also to protect the legitimaterights and interests of the cardholder and the maintenance of the security of the financialorder.This paper introduces the development status of our prepaid card. It mainly introduceinternational developed countries’ regulatory systems of prepaid card, to compare andanalyze what the experience is worth learning, and then make recommendations for how tobuild commercial prepaid card regulatory system to adapt to China’s national conditions.The first part through the introduction of the Beijing Jade Bird closure of storm events,leads our commercial prepaid card regulatory necessity.The second part introduces the basic theory of the regulation of the commercial prepaidcards. First of all, on the concept, features, functions and nature of commercial prepaid cards are introduced; second, analysis the significance of the operational risk of commercialprepaid cards and commercial prepaid cards supervision.The third part is the extraterritorial regulatory system’s inspection and reference. Toanalyze the United States, Japan and China’s Taiwan region of prepaid card regulation,summarize the revelation in our experience.The fourth part mainly analyzes the history, current situation and deficiencies of ourcommercial prepaid card regulatory regime. Pointed out the existing problems of China’scommercial prepaid card regulatory regime, such as regulatory model is missing, theregulatory body is not clear, regulatory object constraint enough, financial regulatoryapproach is not specific.The fifth part put forward recommendations to improve our business prepaid cardregulatory regime. We should strengthen our commercial prepaid card regulatory regimemainly from the following aspects: the permission of the regulatory body, the establishmentof a commercial prepaid card issuance system, the establishment of a prepaid card real-nameregistration system, strengthen the supervision on the use of advance funds, strengthen thesupervision of the card issuer’s exit, hairpin main constraints, strengthen the card issuer’sself-regulatory, improve the regulatory responsibility and relief.