China implements new online financial marketing regulations

New regulations regarding the online marketing of financial products, jointly issued by the People's Bank of China and seven other departments, officially went into effect on September 30. The measures aim to protect consumer safety by establishing clear boundaries for digital financial marketing.

Key provisions include a ban on non-financial institutions and unqualified individuals—such as certain financial bloggers or wealth management mentors—from marketing financial products through public accounts, live streaming, or short videos. The rules also prohibit the use of misleading promotional language like “low threshold,” “instant arrival,” or “low interest rates.” When promoting installment plans, providers must disclose total interest and annual percentage rates rather than only highlighting low initial payments.

To prevent consumer confusion, the regulations mandate a clear distinction between payment tools and credit products. Non-bank payment institutions are prohibited from mixing loans or asset management products with standard payment options. Additionally, entities without proper qualifications are barred from using 27 specific financial terms, such as “finance,” “financing,” “loan,” or “wealth management,” in their account names. The rules also address algorithmic concerns, prohibiting models designed to induce excessive consumption and requiring platforms to provide options to disable personalized recommendations.