Definition of product

“Pledge loan business of stock right” refers to the borrower takes the legal possessing stock right of self-owned or the third person as pledge, to handle the loan business at Jilin Jiutai Rural Commercial Bank.

Application conditions

The borrower to apply for Pledge loan business of stock right at our bank must be legal person of enterprise (public institution) examined and approved to set up by the industry and commerce administration authorities, and the annual inspection is qualified, and is accorded with the credit extension basic demand of our bank, at the same time should possess the following conditions:

1. The asset has fully mobility, and the operation of the enterprise is steady, financial status is better, management system is perfect, possessing the capacity of repaying the capital and interest;

2. The founded time is not less than 3 years, and all kinds of financial target and operation data presents steady or increasing state during the past 3 years’ operation history;

3. The operation is accorded with the national industrial policy, market prospect is better;

4. The operation of the last year not appears loss, presents progressive increasing profit for continuous 3 years and the profit capacity is not lower than the average of the industry;

5. Asset-liability ratio is usually not higher than 65%, debt paying ability is better;

6. Already opened settlement account at our bank, voluntarily to accept credit extension supervision and settlement supervision of our bank, credit record is better;

7. The other conditions demanded by our bank.

Intended use of financing

Pledge loan of the stock right should be mainly used for the needed working capital of production and management or project construction investment.

Financing period

The period of the pledge loan of the stock right should be consulted and determined by the borrower with our bank, the longest is 1 year. Not allowed to handle postponing when the loan expires, new happening the pledge loan of the stock right must be handled according to the regulation stipulation again.

Mode of repayment

Interest settlement by month (season),repayment of principal when expiring, repayment of principal with interest, average capital repayment by month, average capital plus interest repayment by month, and installment repayment of other modes.