Disappear P2P mystery

Recently, some media reported that a P2P network loan platform called "Chong Xin Loan" in Nanjing has been "running" and the site has been discontinued since June 11, and the customer service phone number is unanswered. Tencent technology verification, a model of Xin credit is also suspected of illegal fund-raising. This is the fourth in recent months, the network suspected of running a network of loans, before there are net Campbell, Branch CyberNet and melt letter treasure three network platform have disappeared.

Earlier, public loans, Plagues, Tongdu loans, Fortune VCs, Anke VCs and other up to hundreds of P2P network lending companies closed down, or running, they are often "investment Money "," Fund Management "," Venture Capital "," Venture Capital "and other names appear to cheat" investors. " During this period all kinds of media have also been reporting on the news, we can not help wondering why some people still be fooled, are these lively cases can not give these investors a wake-up call?

In actual fact, these investors are clearly knowing that the tiger has a tendency toward the mountains and tigers, and the fundamental reason is the temptation to profit. According to China's relevant laws and regulations on private lending, the highest rate of return on private lending can not be higher than four times the highest interest rate of similar banks, generally between 22-26%, beyond which the law is not protected by law. In other words, the yield on private lending is even higher than the bank's interest on a regular basis, even many times higher than the Monetary Fund. Such benefits are tempting and no one can resist. P2P lending is no exception.

Disappear P2P mystery

As for why there are frequent P2P network loan platform collapse, or running news, I think nothing less than the following three reasons.

One is "pseudo" P2P network loan platform. Such enterprises from the outset did not intend to do P2P network loan platform, but hope that this new way P2P loans through illegal storage, and then use the same means of Ponzi scheme to demolish the Western wall to enjoy the net loan funds Flow to their own dividend, this model itself is a scam, but because of the high interests of the drive, so there are still many people deceived.

The second is encountered "investors" concentrated run, leading to bankruptcy, which is one of the more common phenomenon. Many small p2p lending platform, due to its own capital utilization reasons, when the market there are some signs of trouble, they will encounter intensive run by investors, due to their own financial reserves, this time there will often be no money to mention the embarrassment. Therefore, these small-scale peer-to-peer lending platforms generally choose to limit the amount of withdrawals (one-day) so as to reduce the risk of being cashed.

The third is because creditability is weak, leading to a higher rate of bad loans, the normal should be less than 3%. At present, most P2P lending platform lack of independent risk control system, more difficult to pin their hopes on the central bank's personal credit information system. Take a P2P lending platform as an example, the verification process is only the central bank credit reporting and remote viewing users online banking, for those who intend to fraudulently lend, fraud cost is too low.

To sum up, capital flow, credit lending system will be the core barrier P2P network credit competition, who can really grasp these two points, perhaps to wait until the dark dawn. Perhaps this is the real reason for restricting the development of P2P net loans. Just as Buddhism refers to the "three poisones" as corruption, jealousy and delusion, it is human nature.

P2P night before dawn

Fortunately, the relevant departments are stepping up the supervision of P2P, the State Council has decided to take the lead by the China Banking Regulatory Commission to undertake research on P2P regulation. It is reported that the relevant regulatory details will be introduced in the second half, on the one hand is to strengthen the platform intermediary nature, and the other is to avoid the platform's own security functions, the third is to prevent the emergence of capital pool, and the fourth is the provisions of illegal fund-raising boundaries.

And when the relevant rules out, shuffle or inevitable, a big wave of P2P loans will be closed down after the introduction of the New Deal, which may also be tempted to some P2P platform in advance "cash" leave the reason. According to a researcher's data, the scale of China's P2P network loans will reach one trillion yuan (105.8 billion P2P network loan market in 2013). The huge release of the eruption market and attractive tempting cakes also attract Various types of business participation.

The established financial institutions have reached the market for P2P net loans in the past two years. Both the fund supervision and risk control capabilities, as well as the capital operation and reserve funds, are superior to the current "pure Internet companies." In the long run, these traditional financial enterprises P2P network loan business, more sustainable development.

Further, with the issuance of P2P licenses in the afternoon market, the competition of several major P2P platforms will be upgraded, and the P2P industry will launch a brand new war on brands and marketing. And now more like the night before dawn, a little careless will be engulfed by the night, get through is a better tomorrow. Of course, those who do not clean the business, even if the current white wash, but also escape the nightmare was eliminated.

Finally, said the good news of P2P industry, foreign P2P lending platform Lending Club to be proposed in the near future IPO, its valuation is even up to 4 billion US dollars, which gives chaos in the Chinese P2P market, hit a shot. It is foreseeable that with the listing of Lending Club, there will be a number of peer-to-peer lending platforms that can be financed by new funds. This is particularly important in the ensuing competition. This is also the only possibility for grassroots P2P entrepreneurs to counter the giants.