Yirendai Ltd. (NYSE: YRD), a leading online consumer finance marketplace in China and a subsidiary of CreditEase, has been elected as one of the inaugural member companies of the Internet Financial Industry Information Sharing Platform (IFIISP) on September 9 in Beijing.
IFIISP was launched by China Internet Finance Association (CIFA) and aimed to track credit information in the industry, enabling member companies to cross-examine credit conditions of loan applicants from multiple angles, preventing “multiple loans”, reducing default rate and business risks, ensuring legal compliance and improving information verification processes.
The entry threshold of the new platform is extremely high. 36 member companies in the fields of internet banking and consumer finance etc. of the CIFA were selected into a training camp of the information sharing platform and filed trial applications on April 14, 2016, while only 17 companies were admitted into the platform at its inauguration as the result.
Yirendai’s membership does not come from nowhere; Yirendai has been proactively maintaining communications with regulators and keeping pace with regulatory requirements. Especially in third party bank custodian requirement, the company was the first to connect its system to its bank partner GuangFa Bank. Meanwhile, the successful IPO of Yirendai on New York Stock Exchange was a milestone for the entire industry, providing benchmarks for compliance, self-discipline, information disclosure and technology to the Chinese internet financial industry.
The launch of the IFIISP marks an important step forward for the industry’s self-regulation, and a further improvement of the functions of CIFA. As a building block of China’s credit information system, that enables the healthy advancement of FinTech industry in China.
About: Yirendai is a leading online consumer finance marketplace in China connecting investors and individual borrowers. The Company has facilitated over RMB 12.0 billion in loans from our inception in March 2012 through December 31, 2015. Yirendai’s online platform automates key aspects of its operations and enables the Company to efficiently match borrowers with investors and execute loan transactions. Leveraging the extensive experience of Yirendai’s parent company CreditEase, Yirendai is able to provide an effective solution to address largely underserved investor and individual borrower demand in China. CreditEase is a large financial services company focusing on providing inclusive finance and wealth management products and services in China. Yirendai’s borrowers and investors come through a variety of channels, including online sources, such as the internet and mobile applications, as well as offline sources, such as referrals from CreditEase’s on-the-ground sales network.
Source: PR Newswire