Some Banks Have Finalized Operational Frameworks

“I just received news from the branch: to process the consumer loan interest subsidy business, borrowers are expected to proactively apply and authorize our bank to query their transaction records,” Xiao Wang told the reporter.

Xiao Wang explained, “After the customer submits an application, our bank will send a verification text message. Once authorized, we will automatically identify the customer’s consumption information and all consumer loans eligible for the interest subsidy policy. On the loan interest settlement date, when our bank collects loan interest from the borrower, the system will directly deduct the subsidy funds for all consumer loans that qualify for the interest subsidy policy and send a notification message.”

Xiao Wang informed the reporter, “The interest subsidy for consumer loans applies to portions actually used for consumption by the borrower that can be identified and verified. Amounts below 50,000 yuan can be used for daily expenses, while amounts above 50,000 yuan can be used for car purchases, renovations, travel, etc. Expenses that do not meet the conditions are not eligible for the subsidy.” She advised the reporter, “When the time comes, it’s best to use the disbursement account for consumption.”

“The system module for the interest subsidy is not yet live. It is expected to be launched via mobile banking before September 1, so customers can keep an eye out for it,” Xiao Wang said.

At an Agricultural Bank of China branch in Dongcheng District, Beijing, customer manager Xiao Cui told the reporter, “Consumers can apply for loans normally following the standard loan process. When using the loan, they need to sign a supplementary agreement and authorize our bank to query the loan disbursement account. This is mainly to identify consumption transaction information and aggregate the consumption amount eligible for the subsidy. For consumption transaction information automatically identified by the system, the interest subsidy will be applied automatically when interest is collected. For portions not identified by the system but provable as genuine consumption, customers can provide materials such as invoices for manual review.”

“We are currently in the final testing phase. We are streamlining the process as much as possible to make it convenient for customers to apply and operate, saving borrowers money, time, and effort,” a relevant负责人 from the personal loan department of a major state-owned bank told the reporter.