{"id":363929,"date":"2025-12-22T16:31:08","date_gmt":"2025-12-22T16:31:08","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/363929\/"},"modified":"2025-12-22T16:31:08","modified_gmt":"2025-12-22T16:31:08","slug":"china-to-hide-bad-debt-records-for-pandemic-hit-borrowers-who-repay-small-loans","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/363929\/","title":{"rendered":"China to hide bad debt records for pandemic-hit borrowers who repay small loans"},"content":{"rendered":"

China\u2019s central bank has unveiled a credit-rehabilitation policy to help individuals who defaulted on small loans rebuild their financial standing \u2013 part of a broader push to bolster the economy and repair household balance sheets.<\/p>\n

The People\u2019s Bank of China said the measure targets borrowers with a single instance of overdue debt incurred between 2020 and 2025 and not exceeding 10,000 yuan (US$1,421). If the debt is fully repaid by March 31, the default record will be hidden from credit reports.<\/p>\n

\u201cThe policy was introduced to help pandemic-hit borrowers, who are actively repaying their loans, rebuild their credit swiftly,\u201d the PBOC said in a statement on Monday, adding that the move aims to address the Covid-19 pandemic\u2019s lasting economic fallout.<\/p>\n

The policy will be automatically administered by the central bank\u2019s credit reference centre, requiring no individual applications, and is due to be implemented in phases starting in 2026.<\/p>\n

One of the central bank\u2019s deputy governors, Zou Lan, said at a press briefing on Monday that while many borrowers affected by pandemic-related hardships have since repaid their debts, delinquency records remain on their credit reports, continuing to hinder access to new loans.<\/p>\n

The new measure supports economic growth by invigorating grass-roots economic activity and helping financial institutions assess creditworthiness more accurately, Zou said.<\/p>\n

<\/p>\n

03:21<\/p>\n

China\u2019s youth unemployment soars to 2-year high as job crunch deepens<\/p>\n

China\u2019s youth unemployment soars to 2-year high as job crunch deepens<\/p>\n","protected":false},"excerpt":{"rendered":"China\u2019s central bank has unveiled a credit-rehabilitation policy to help individuals who defaulted on small loans rebuild their…\n","protected":false},"author":2,"featured_media":363930,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[36],"tags":[179224,7904,28,144,8200,101,53869,164746,9341,9340,34379,179226,179225,9337],"class_list":["post-363929","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-beijing-javy-law-firm","tag-bloomberg","tag-business","tag-china","tag-covid-19-pandemic","tag-economy","tag-fitch-ratings","tag-pan-gongsheng","tag-pboc","tag-peoples-bank-of-china","tag-xinhua","tag-yicai","tag-zhao-zhanling","tag-zou-lan"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/363929","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=363929"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/363929\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/363930"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=363929"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=363929"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=363929"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}