Loan trust is a direct financial product. Trust loans are restricted by specific trust purposes. The capital is in a closed operation state from the principal to the trustee and then to the financier, and the risk transfer is linear. The risks of different trust projects do not cross each other, and the interests do not penetrate each other.

What does a loan trust mean?

Family trust is a long-term financial management method. Trust institutions are entrusted by individuals or families to help dispose of family property in order to achieve the goal of long-term wealth planning. The ownership of family trust assets is separated from the income right. Once the client gives personal or family assets to the trust company for safekeeping, the ownership will no longer belong to him, but the corresponding income will still be collected and distributed according to his wishes.

What is a trust loan?

Definition of trust loan

Trust loans refer to loans granted by trust institutions to self-approved units and projects with their own funds such as trust deposits within the scope prescribed by the state.

[Edit this paragraph] Classification of trust loans

Trust loans can be divided into two categories according to whether the client puts forward specific requirements: class A trust loans and class B trust loans; According to the purpose of the loan, it can be divided into fixed assets trust loan, working capital trust loan and temporary working capital trust loan.

trust loan

According to the different subjects of project selection and the different standards and requirements of clients, loans are divided into Class A trust loans and Class B trust loans. The so-called Class A trust loan refers to the loan project designated by the client, and the client is responsible for the project risk; Class B loan is the project selected by the trustee, and the risks shall be borne by the trustee accordingly.

[Edit this paragraph] The difference between trust loans and entrusted loans

The objects and uses of entrusted loans are designated by the clients, and the objects and uses of trust loans are selected by the trust institutions themselves; The management of entrusted loans is relatively loose, while the management of trust loans is as strict as that of bank loans. Compared with bank loans, the interest rate of trust loans has a certain floating range. Therefore, trust institutions can support the special and reasonable capital needs of some enterprises under the conditions permitted by national policies.

[Edit this paragraph] The main business of trust loans

Trust loans mainly include joint venture investment trust loans, technical transformation trust loans, compensation trade trust loans, housing trust loans and so on.

[Edit this paragraph] The basic characteristics of trust loans

First of all, there is an upper limit to the income of the project. The income comes from the loan interest, and the relevant interest rate standards of the People's Bank of China are implemented. This means that the client's upper income limit is the loan interest rate, and he is faced with the deduction of this part of the income from the trust company's extraction management fee. Different ways of drawing management fees mean different degrees of income deduction, which directly affects the interests of investors.

Secondly, although trust companies have chosen relevant projects for loans according to their own professional skills, they can only rely on trust in trust companies because of asymmetric information. The trust company has just been reorganized recently, and its own credit mechanism has not yet been established. The credit risk of loans must be controlled through external mechanisms.

[Edit this paragraph] Loan restrictions of trust loans

Trust loans mainly include joint venture investment trust loans, technical transformation trust loans, compensation trade trust loans, housing trust loans and so on.

The CBRC issued a new regulation on trust supervision, stipulating that the loans provided by trust companies to others shall not exceed 30% of the paid-in balance of all trust plans managed by them. The new measures are in the types of trust companies, the establishment of trust products and the trust in different places.

trust loan

Business, trust property custody and other aspects to make more flexible provisions. At the same time, there are some restrictions and requirements on the inherent business, related transactions, qualified investors, the number of natural persons and trust loans of trust companies.

The original method stipulated that "when a trust company manages and uses the trust property, it can take the form of loan according to the agreement in the trust documents". The new method stipulates that the loans provided by trust companies to others shall not exceed 30% of the paid-in balance of all trust plans managed by them, mainly to prevent trust companies from taking loans as their main business model and profit model.

The relevant person in charge of the China Banking Regulatory Commission said that in recent years, some trust companies have deviated from the trust industry, and their risk management ability is not strong and corporate governance is not perfect. Coupled with the illegal operations and crimes of minority shareholders and senior executives, the operational risks of trust companies occur from time to time. The promulgation and implementation of the new measures will further clarify the positioning of trust companies as "entrusted by people to manage their finances on behalf of others".

What does a trust loan mean?

According to the provisions of Article 2 of the Trust Law of People's Republic of China (PRC), trust refers to the act that the trustor entrusts the property rights to the trustee based on his trust in the trustee, and the trustee manages or disposes in his own name for the benefit of the beneficiary or for a specific purpose. The trustor generally refers to the trust consumer, and the trust law stipulates that the trustor is a natural person, legal person or other organization established according to law with full civil capacity; Trustee refers to a natural person or legal person with full civil capacity who is entrusted to help trust consumers manage their property, and is generally served by a trust company; The beneficiary is the person who enjoys the trust beneficiary right, generally referring to the person who enjoys the trust income according to the trust contract, and may be a natural person, a legal person or other organizations established according to law.

Don't you get it?

So powerful

What is the transaction structure?

The CBRC's supervision over the trust industry is quite comprehensive, mainly including: participating in the drafting of relevant laws and regulations; Formulate regulatory rules; Implementing access management for trust companies and their business scope; Examining the qualifications of senior managers; Formulate management norms for employee behavior; Supervise corporate governance, risk management, internal control, capital adequacy, solvency, business practices and information disclosure; Conduct on-site inspection and off-site supervision, conduct risk and compliance assessment, protect the legitimate rights and interests of financial consumers, and investigate and deal with illegal acts according to law. ......

What is the process of buying a trust? Is it risky to buy a trust? What are the risks of trust products?

What kind of trust company is safer? What kind of trust products are safer?

How to choose trust products? Is it safe to buy top trust products?

Is it better to buy a house to increase value or to buy wealth management? /kloc-how to allocate wealth management products for 0/00000 cash?

Why do you need double recording when buying a trust? Can we not repeat the record?

Will the trust company go bankrupt?

What should I do if there is something wrong with the trust product?

Why is the trust income sold by banks so low? Is it safer?

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What does the People's Bank of China's trust loan mean?

Trust loan refers to a financial business in which the trustee accepts the entrustment of the principal, distributes the funds deposited by the principal according to the object, purpose, term, interest rate and amount stipulated by the principal (or trust plan), and is responsible for recovering the principal and interest of the loan at maturity. The client has full confidence in the object and purpose of the loan, and at the same time, he can take advantage of the trust company's advantages in enterprise credit and fund management to increase the security of funds and improve the efficiency of the use of funds.

What is a trust loan? What's the difference between trust loans and entrusted loans?

The difference between trust loan and entrusted loan

First, the nature is different.

1. In the entrusted loan business, the trustee has the nature of property management, and mainly transfers the entrusted property according to the instructions of the principal.

2. In the trust loan business, the trustee invests for the client through the loan business similar to the bank.

Second, the form is different.

1. The entrusted loan contract shall be signed by the principal, the trustee and the borrower, or by the principal, the trustee and the borrower respectively.

2. Only the trustor and the trustee sign an agreement in the trust loan contract. The parties to a trust loan contract must have the principal, the trustee and the borrower, while the parties to a trust loan contract only have the principal and the trustee.

Three, determine the contents of the loan contract is different.

1. In the entrusted loan contract, the contents of the loan contract (including the borrower, loan term, loan interest rate, etc.). ) shall be designated by the principal.

2. In the trust loan contract, the principal rarely interferes with the loan contract, which is independent of the trust contract, and the specific content of the loan contract is decided by the trustee.

Fourth, responsibilities and risks are different.

1. In the entrusted loan, the borrower has the obligation to repay the loan directly to the principal, and the loan risk is borne by the principal; In a trust loan contract, the borrower is a third party outside the contract and has no obligation to repay the principal directly.

2. The trust institution shall be responsible for the capital safety of the trust loan, and the risk shall be borne by the trust institution.