Finance Old Wang | New regulations have been introduced: personal loans will not be allowed to have hidden fees

Have you ever had the experience of signing a loan contract where the annual interest rate was only 6%, only to find out later that there were a host of unexpected charges such as guarantee fees, service fees, consultation fees, etc.? In response to these irregularities, the Financial Regulatory Administration and the People's Bank of China announced new regulations on the evening of the 15th, requiring all personal loans to clearly disclose the comprehensive financing costs, ensuring transparency in financial consumption. The new regulations particularly emphasize the protection of consumers' right to know and provide specific guidance for practical operations. Comprehensive financing costs may sound technical, but it actually refers to the total of all interest and various fees related to your loan. The new regulations specify that loan interest, installment fees, and any additional costs for guarantees must be clearly displayed. In case you fail to repay on time, any potential fees such as late payment penalties must also be disclosed in advance. This way, you can clearly understand all the costs involved before taking out a loan. According to the new regulations, before a loan is issued, banks and other institutions must include all loan-related charges in the comprehensive financing cost disclosure form and confirm it with the borrower, ensuring that these are the only interest and fees, with no hidden charges. When processing a loan on-site, the borrower must sign the comprehensive financing cost disclosure form to acknowledge it; For online applications, a pop-up must forcibly display the comprehensive financing cost disclosure form with a countdown for reading, allowing consumers to understand it clearly; In online consumption scenarios for installment payment services, information about installment fees, penalties, etc., must be clearly displayed on the payment page of the order. If someone claims that this regulation applies only to financial institutions and that they are intermediaries not bound by the new rules, do not believe it! All institutions related to loan services, including banks, microloan companies, online lending platforms, and loan assistance agencies, must comply with these new regulations. Considering that institutions need time to adjust their systems, the new regulations will officially take effect on August 1 of this year. Friendly reminder: Before the new regulations are implemented, when applying for personal loans, be sure to ask questions and clarify all fees to protect your right to know about consumption. ©2026 China Central Radio and Television Station. All rights reserved. Please do not reproduce or use without permission