Deputy Governor of the Central Bank, Zou Lan: The one-time credit repair policy provides individuals who have previously defaulted with an opportunity for fault tolerance and correction.

On December 22nd, the People's Bank of China held a press conference on the "One-time Credit Repair Policy." People's Bank of China Deputy Governor Zou Lan stated that the policy is expected to have a positive impact on three levels. At the individual level, the policy provides a chance for individuals who have previously been dishonest to correct their behavior, helping to improve social credit conditions, stimulate the vitality of micro-subjects, and inject intrinsic motivation into the high-quality development of the economy. At the financial institution level, the policy helps financial institutions more accurately identify individual credit conditions, further enhancing the quality and efficiency of inclusive financial services. At the economic and social level, the policy strengthens individuals' awareness of fulfilling their commitments in subsequent economic activities, effectively plays a fundamental role in the credit system of "incentives for trustworthiness and penalties for dishonesty," and actively constructs a trustworthy and virtuous credit society. Zou Lan mentioned that the setting of policy standards and conditions is mainly based on two considerations. On one hand, the policy does not differentiate between lending institutions or types of loans, does not set application procedures or complex conditions, and provides opportunities for individuals who fulfill their repayment obligations by a specified date to rebuild their credit fairly and easily. On the other hand, the policy sets rules regarding overdue time and overdue amounts, supporting precise support for small overdue amounts and credit rebuilding for honest repayment individuals, while preserving credit constraints for individuals who have not repaid on time or have large overdue amounts, upholding the baseline of fulfilling commitments and ensuring the seriousness and binding force of the credit system. The press conference concluded with remarks about the importance of protecting individual credit rights, promoting high-quality development of the credit industry, and maintaining the balance between development and security. The People's Bank of China emphasized the importance of continuous improvement and innovation in credit services to meet the diverse needs of the public and ensure a healthy and orderly development of the credit industry. Thank you to all the guests and journalists for their participation. If there are any further questions, please contact the People's Bank of China's press office. Thank you.