Jiangxi Bank passes NIFA compliance tests
14 November 2018 Jiangxi Province
Image: Shutterstock
Hexindai Inc’s (Hexindai) custodian bank, Jiangxi Bank, has passed its compliance evaluation by the National Internet Finance Association of China (NIFA).
Jiangxi Bank is the only provincial city commercial bank in Jiangxi Province, and was listed on the Stock Exchange of Hong Kong in June this year.
As required by government regulations on the peer-to-peer lending (P2P) industry, all online P2P lending platforms in China must have a custodian bank to manage funds from borrowers and lenders to ensure fund safety and avoid the misappropriation of funds.
This is a prerequisite for online P2P lending platforms to file for registration.
Jiangxi Bank has been Hexindai's custodian bank since January 2017, when the company integrated its asset custody system with Jiangxi Bank.
Based on standards set by regulators for the P2P lending fund depository business and systems, NIFA started to evaluate related banks for their fund depository business process and technology systems since the end of 2017.
Using both on-site inspections and off-site reviews, NIFA has been evaluating the compliance and integrity of related banks over the past year.
Jiangxi Bank is the only provincial city commercial bank in Jiangxi Province, and was listed on the Stock Exchange of Hong Kong in June this year.
As required by government regulations on the peer-to-peer lending (P2P) industry, all online P2P lending platforms in China must have a custodian bank to manage funds from borrowers and lenders to ensure fund safety and avoid the misappropriation of funds.
This is a prerequisite for online P2P lending platforms to file for registration.
Jiangxi Bank has been Hexindai's custodian bank since January 2017, when the company integrated its asset custody system with Jiangxi Bank.
Based on standards set by regulators for the P2P lending fund depository business and systems, NIFA started to evaluate related banks for their fund depository business process and technology systems since the end of 2017.
Using both on-site inspections and off-site reviews, NIFA has been evaluating the compliance and integrity of related banks over the past year.
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