University students borrow usury to buy high-end digital products controversy

The new consumer finance aims at the high interest rate of low income group to cause the dispute usury, this word commonly appears in the non Sunlight Private loan domain, but the recent formal financial enterprise also is involved in the interest rate abnormal high controversy. Over the weekend, CCTV reported that college students who bought mobile phones and computers were caught in a loan trap that would not only repay the principal but also incur high interest, security and service charges, which together exceed half of the principal, with an annual rate of even more than 50%. In response to the letter, the company responded that it had started the relevant investigation, and once found that violations of the company's internal system, the individuals involved in the implementation of strict disciplinary action. Wen/reporter Liu Nio in CCTV reports in the case, Chongqing's college students to buy himself a new mobile phone, adopted a business proposal through a name called "Czech letter" Company for installment payment, small Tang so only paid 300 yuan to get 3000 yuan of mobile phones, The remaining 2699 yuan option is paid in the form of a loan. Financial enterprises suspected of "usury"? Xiao Tang later found that in his own loan contract, he will pay 12 consecutive months, each month to repay 339 yuan, which means that he has to pay a total of 4068 yuan, more than 2699 yuan in the principal of the loan of 1369 yuan, interest and various expenses should exceed the principal of more than 50%. And small Tang's personal consumption loan application form shows that the monthly loan rate of this loan is 1.67%, the monthly customer service rate is 1.79%, and another 0.77% of the monthly guarantee service rate, so that the monthly rate plus is 4.23%, times 12 months, the annual rate of up to 50.76%. CCTV also disclosed that the Czech Republic letter staff in the process of payment for college students, but also to help borrowers fake to obtain loans. But when college students are unable to repay the loan, they use every means to collect the loan. Reporter yesterday, the official website of Czech letter found that Cheshin in Guangdong, Shandong, Hunan, Hubei, Chongqing, Sichuan and other locations have business, only in Guangzhou on the arrival of Suning, Gome and other businesses more than 20 outlets. In his introduction, Cheshin revealed that the group is one of Europe's leading consumer finance providers. Cheshin (China) is a leading consumer finance provider and a wholly owned subsidiary of PPF, the largest international financial investment group in Central and Eastern Europe. A controversy over the cost of consumer finance a bank insider told the reporter that the small tang is involved in the loan contract is the rising consumer finance. Czech letter said confidently that, "Czech letter for the majority of ordinary consumers to provide 60 minutes in the shop to receive payment services, as long as consumers have a fixed income, you can pay after the first consumption." "In fact, consumer finance companies, including Cheshin, are mainly targeting low-income groups, with college students and migrant workers being important target customers," he said. "Well-qualified consumers generally have credit cards. Insiders said. An electrical appliance chain executives told reporters that Cheshin in its chain stores is indeed to provide customers with various types of consumer reinsurance business, "Czech letter is not a loan provider, it is justTo guarantee the loan, the business is compliance. The executive said, but because there are more subjects involved, the rate is really high. Consumer finance industry insiders said that the Czech letter's lending costs than ordinary banks to high, bear the risk of high, charging a certain fee is understandable. But Guo, director of the China Banking Research Center at the Central University of Finance and Economics, said that "small customer groups are often more expensive and risky than big customers, but the rate hike is understandable, but the rate of up to 50% like Cheshin is far beyond the reasonable range." This is a little disguised as usury. "Guo suggests that regulators should have a clear view of this, or financial institutions can get high profits by playing the ball in the right way." Latest response: Czech letter said the launch of the investigation Cheshin yesterday that the company has been strictly abide by the relevant laws and regulations of the People's Republic of China, now the company is actively in the report of the query and regulatory agencies to communicate. The company immediately launched an in-depth investigation, the Czech letter said. If the investigation proves that any doubt does occur, this will be characterized as a serious breach of the company's internal system, "we will have a special action to identify the alleged involvement of the sales staff, the company will not tolerate any similar acts, once found to be considered to be in violation of the corporate code of conduct, The individuals involved will perform severe disciplinary actions. Many consumers are more rational about the involvement of college students in usury events, "when signing a contract (agreement), do not look at the clear clause?" How much money do you borrow, and how much money do not count? "There is a consumer query that if the contract does not evade the rights and obligations of both parties, then college students should be held responsible for their actions." The Czech Republic also pledged to "be transparent to all customers in all circumstances and to provide them with comprehensive information on how to obtain safe and responsible loans". In the Czech Republic letter official website provides "the loan calculator" also can see clearly, the consumer may choose the down payment ratio between the 10%~50%, the loan period is divides from 9 months ~24 the month to divide into 5 stalls, if the consumer chooses the down payment proportion and the loan term, the monthly repayment amount can arrive immediately.