the first paragraph of article 176 of China's criminal law stipulates that the crime of illegally absorbing public deposits refers to the act of illegally absorbing public deposits or absorbing public deposits in disguised form, disrupting financial order.
2. Facing the risk of interest rate liberalization.
P2P peer-to-peer lending Platform determines the final loan interest rate based on the principle of price priority and time priority by adopting the priority bidding rule, which is a free interest rate that is completely determined by both borrowers and lenders and fully reflects the market demand and the relationship between supply and demand.
3. It is not easy to effectively protect the financial privacy of borrowers.
P2P website provides a platform for both borrowers and borrowers to publish lending information. Websites or guarantee institutions will require borrowers to provide personal identity and property information, on the one hand, to provide investors with credentials for choosing borrowers, on the other hand, to serve as the basis for credit evaluation. If the confidentiality technology of the website is cracked, the personal identity, property information and other personal privacy provided by the borrower to the website will be easily leaked, and the borrower's privacy right will not be effectively protected.
Extended information:
peer to peer lending refers to direct lending between individuals through the Internet platform. Individuals include natural persons, legal persons and other organizations. As a new lending platform in peer-to-peer lending, loan companies usually operate online, so they can operate with lower management costs and provide services more cheaply than traditional financial institutions.