2. Advance payment. Generally, it is made by P2P platform. The platform promises to provide funds in advance when the borrower fails to repay the due debts, and the platform will collect debts from the borrower on behalf of investors. Advance payment and letter of guarantee are similar in the definition of legal nature.
Legal basis:
credit reporting industry regulations
Article 13 Personal information shall be collected with the consent of the information subject, and shall not be collected without its consent. However, information disclosed in accordance with laws and administrative regulations is excluded.
Information related to the performance of duties by directors, supervisors and senior managers of an enterprise shall not be regarded as personal information.
Article 14 It is forbidden for credit reporting agencies to collect personal religious beliefs, genes, fingerprints, blood types, diseases and medical history information and other personal information prohibited by laws and administrative regulations.
Credit institutions shall not collect information such as personal income, deposits, securities, commercial insurance, real estate and tax payment. However, unless the credit reporting agency explicitly informs the information subject of the possible adverse consequences of providing information and obtains its written consent.
Fifteenth information providers to provide personal bad information to credit reporting agencies, should inform the information subject in advance. However, bad information disclosed in accordance with laws and administrative regulations is excluded.