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What does the agency agreement mean?
The so-called "collection business" refers to the payment business in which, with the consent of the payer, the payee entrusts the collection institution to deduct the funds in the payer's account from the payer's account-opening institution according to the agreed frequency, quota and other conditions, and the payer's account-opening institution no longer conducts transaction confirmation with the payer one by one.

The main characteristics of this business are that the payee is relatively fixed, the transaction scene between the payee and the payer is relatively fixed, and the conditions such as payment frequency or amount are agreed by the payee and the payer in advance. This business is widely used in daily life scenes. For example, after the credit card holder signs an automatic repayment agreement with the bank, the bank transfers funds from the account designated by the cardholder every month to repay the credit card; When a customer buys insurance, it is agreed with the insurance company to automatically deduct the premium from the customer's account every month; After customers sign service agreements with companies such as tap water, electricity, gas and cable TV, the company automatically deducts fees from customers' accounts on schedule every month.

With the continuous development of the payment market and the increasing demand of consumers, the application fields of the collection business are also expanding. For example, customers and related institutions agree to purchase wealth management products regularly every month or automatically purchase wealth management products when the account balance exceeds a certain amount.