The PBOC has released a consultation draft revising RMB deposit and loan interest‑rate management. It replaces the PBOC notice’s formulaic penalty surcharges—adding 30%–50% to contract loan rates for overdue loans and 50%–100% for loans used outside contract terms—with a provision that penalty rate, interest‑calculation method and any grace period be negotiated between lender and borrower. The draft also introduces a definition of high‑interest deposit solicitation, explicitly including but not

The PBOC has released a consultation draft revising RMB deposit and loan interest‑rate management. It replaces the PBOC notice’s formulaic penalty surcharges—adding 30%–50% to contract loan rates for overdue loans and 50%–100% for loans used outside contract terms—with a provision that penalty rate, interest‑calculation method and any grace period be negotiated between lender and borrower. The draft also introduces a definition of high‑interest deposit solicitation, explicitly including but not limited to illegal manual supplementary interest payments and breaching market‑rate pricing self‑discipline caps, and flags conduct that disrupts deposit market competition.