Beijing to strengthen punishments on credit violator
SOCIAL
By Gong Rong

2017-04-27 15:57 GMT+8

In a plan vowing to accelerate in building its government-led national social credit system, which was unveiled on its website on April 26, Beijing announced that those who have serious infringements in credit behavior would result in a restriction of going abroad, purchasing properties and travelling on planes.
The punishments are mainly focused on high-consumption areas. People who are capable but refused to carry out would probably face higher interests when gaining loans and property insurances from commercial banks and insurance companies, financial institutions can even restrict the availability of mortgage finance and insurance services.  
VCG Photo
Beijing aims to establish the social credit system by 2020, when all the public information would be gathered in the public credit information platform, which is open to the whole society. In the meantime, a credit reference system that covers the whole of society, and a related reward and punishment mechanism will be established by then.
In 2014, China released an outline for building a government-led national social credit system to assess individuals and government agencies on areas including administrative affairs, commercial activities, social behavior, and the judicial system.
Under the system, individuals and organizations will be coded based on identity card numbers or organization numbers to allow different sectors to share credit information.
Credit records will include information on financial, industrial and commercial registration, taxes and social security payments, as well as traffic violations.

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