Loan companies are non-financial institutions with private capital participation. It is a company registered by shareholders. Its main business is to issue loans, but it is not allowed to absorb public deposits. The lending limit is set according to the registered capital. Bank loan is a credit fund business issued by banks.

1, the difference is mainly in the variety of loans, the risk tolerance is more enterprising, and of course the interest return is higher.

2. As a supplement to bank loans, the source of funds is also social funds, but it is different from the deposits absorbed by banks from the society.

3. The cost of capital is higher than that of banks.

At present, there are not many laws and regulations to guide and protect this emerging industry. In practice, loans and capital absorption are prone to illegal acts!