Chinese peer-to-peer lending platform Hexindai (NASDAQ: HX) announced on Tuesday its support for the decision by industry regulators to include the country’s P2P platforms in the central bank’s credit system. The online lender reported that it believes this as a positive move for the P2P industry and stated:
“China’s regulators for the internet finance industry issued an official guideline on September 2 that requires P2P lending companies to be connected to the Credit Reference Center at the People’s Bank of China (PBOC) and Baihang Credit, China’s licensed personal credit agency established by the National Internet Finance Association of China. With the inclusion of P2P platforms in the country’s credit system, the information of online lending defaulters will be added and reflected in their personal credit reports.”
Speaking about the support, Xiaobo An, Hexindai’s Founder, Chairman and CEO, shared:
“To include P2P platforms in the central bank’s credit system is a significant progress to improve the development of China’s credit system. Hexindai welcomes the regulators’ decision and will continue to make efforts to curb malicious defaults, protect lenders’ interests, and contribute to a compliant and transparent ecosystem for the industry.”
Hexindai then noted ithas been taking timely actions to meet compliance requirements and protect investors’ interests. Earlier this year, the lender claimed to be one of the first P2P platforms in the country to connect its data with Baihang Credit. Hexindai then added:
“As a member of the Beijing Internet Finance Industry Association, Hexindai and 26 other companies issued a joint statement in August 2018 and committed to contributing to the credit system’s development, protection of lenders’ rights and the maintenance of market order.”