Internet Finance Credit System Construction

This paper takes the Peer to Peer online lending under Internet Financial Model as example and is based on its management and credit technology risks during operation in order to explore its risks control measures and to propose to strengthen Internet Finance Credit system construction. In this paper, I summarize relevant experience and obtain enlightenment suitable for China through presenting the discordance between the rapid development of Internet Finance and current Chinese Internet Financial Credit System and researching American Internet Financial Credit practice and system. Finally, this paper propose the legislative notion and specific operation approaches aiming at optimize Chinese Internet Financial Credit System.In addition to the introduction and peroration, this paper is consisted of four parts: In the first part, I put forward the concept of Internet Financial Credit and explain the development of Internet Financial Credit business. To begin with, I introduce the construction background of Chinese Internet Financial Credit System which leads to the point that China has not established sound and completed Internet Financial Credit System. Next, I state the developing situation of Chinese Internet Financial Credit in which I analyze its features such as its low entry barrier, mass of P2 P agencies close down due to lack of supervision and infringement of financial customers’ rights. In the end of this part, I on the basis of the current development of Chinese Internet Financial Credit System business, propose that China must establish InternetFinancial Credit System.In the second part, I study and summarize the problems in the establishment of Chinese Internet Financial Credit System. In the first place, I come up with the incompletion of Chinese Credit Law System and lack of supervision by focusing on Chinese legal construction. In the second place, I discuss the present situation that China can not realize credit system data sharing from three angles including lack of the standardization of credit business, the mutual division of credit systems and weakness of system in credit information. In the last place, I conclude that the outdated development of Chinese Internet Financial Credit Market. I highlight problems in this part, above which I seek relevant experience and offer suggestions.In the third part, I state the practice in American Internet Financial Credit and reference of its system establishment. First of all, I discuss the use of the new credit rating system and big data in the credit activities of American marketization through introducing the example of Lending Club which is a American Internet Lending platform. Secondly, I investigate the relevant American credit laws and regulations and trans-department supervision system, and on the basis of which and combining with the development of Chinese Internet Financial Credit situation, I obtain useful solutions.In the fourth part, I raise suggestions to the establishment of Chinese Internet Financial Credit System based on above summarization of the problems in the establishment of Chinese Internet Financial Credit System and enlightenments of the American Internet Finance Credit practice and supervision system. At first, I believe China shall enact completed Internet Financial Credit laws and regulations. In the next place, China shall establish the layered mechanism regarding to credit information and standardization system in credit which are fit for Internet Financial Model. Lastly, China shall strengthen the credit information supervision for protection of personal privacy.