What is Credit Counseling?

Chinese words, so-called credit, refer to a trusting production relationship and social relationship formed between people, units, and commodity transactions. Reputation constitutes conscious and voluntary repeated interactions between people, units, and commodity transactions, and consumers are even willing to pay more to continue this relationship. If you don't believe it, you can't do it. No one can believe without trust!

[xìn yòng]

Chinese words, so-called credit, refer to being attached between people,

1. Means

   Credit means the trust that can be achieved by fulfilling the promise. Credit is the trust and integrity accumulated over a long period of time. Credit is hard to come by. The credit accumulated over ten years of work is often lost because of words and deeds. It also refers to our positive record of fulfilling our commitments in the past. It is also a performance art, a behavior management model that everyone can try and manage themselves.

   The basic form of credit will be explained below according to the classification criteria of trusted objects.

   Credit has two meanings: trust and borrowing. It is divided into sociology and economics. The essence of credit determines that credit has the following basic characteristics.

   1.Credit is social

   First , the social nature of credit is reflected in socio-psychological factors. Credit is based on trust. Trust in the trustee is actually the trustee's sense of security in the credit relationship. It is a psychosocial factor, because the sense of security does not arise out of thin air, but depends on the trustee's

   positive effects

   1. Credit promotes the optimized allocation of funds and improves the efficiency of fund use. By borrowing, funds can flow to projects with higher investment returns, which can make

      Private lending is an informal credit model of China's credit system. Due to the lack of supervision, there are certain risks in this method. How to reduce this borrowing risk scientifically and effectively? We can do our homework from the following aspects:

      1. It is necessary to strictly review the market access mechanism, review the qualifications of some private lending institutions, and private money houses that have certain funds and can operate in accordance with the law can be designed for private financial institutions within a certain period of time; on the other hand, for those In order to obtain usury, people must give clear blows and bans, and maintain good financial order.

      2. The interest rate of credit should be managed more transparently. To regulate this kind of private lending, we must fully consider the demand for lending, and also need to incorporate our effective management methods. It can be floated up and down according to the qualification requirements of lenders. Some market competition has promoted the standardized development of borrowing.

      3. The introduction of credit into the real economy, the private sector has a lot of capital, where it is needed. But we also need to enter the cycle of the real industry, so that we can promote the sustainable development of the real economy. Rather than just wandering around as some free capital, it is better to use it legally and normatively.

      4. The flow of credit funds needs to be strengthened and effective management must be implemented. It is necessary to set up some special regulatory agencies to supervise its lending behaviors, monitor and manage funds, and establish a complete, sound, and scientific statistical monitoring index for imports. It is necessary to monitor the flow and investment of private loans. Supervise and guide and prevent some private housing loans from being available everywhere.