Personal loans and debt collection outsourcing both involved serious violations! Shangcheng Consumer Finance was fined 1.6 million for the "Five Counts."

On March 23, the Shanghai Financial Regulatory Bureau disclosed a penalty notice showing that Shanghai Shangcheng Consumer Finance Co., Ltd. (referred to as “Shangcheng Consumer Finance”) was fined 1.6 million yuan for serious violations of prudent management rules in personal loan management, actual performance of duties without proper qualification approval, serious violations of audit management rules, reckless handling of collateral, and severe breaches in outsourced collection management.

At the same time, in implementing the dual punishment system, Qiu Xiaojian, then senior senior manager of the direct sales department of Shangcheng Consumer Finance, and Sun Qian, then senior senior manager of the risk management department, were both warned for serious violations of prudent management rules in personal loan management.

Public information shows that Shangcheng Consumer Finance was jointly established by Shanghai Bank (42.74%), Ctrip Group (42.18%), Boyu Capital (7.70%), and Sequoia Capital (7.39%). It was approved for preparatory work by the China Banking and Insurance Regulatory Commission (formerly the China Banking Regulatory Commission) on November 17, 2016, and officially registered on August 17, 2017.

Shangcheng Consumer Finance offers two proprietary products: “Cheng e Loan” and “Cheng e Card.” “Cheng e Loan” is an unsecured credit consumer loan product launched by Shangcheng Consumer Finance to meet the daily consumption needs of the inclusive population. The maximum amount is 200,000 yuan, with an annual interest rate of 7.2%-24%, and a maximum term of 36 months.

“Cheng e Card” is an online entrusted payment-based consumer installment product aimed at high-quality customers. Customers applying for this product can enjoy a maximum limit of 100,000 yuan, an annual interest rate of 8%-24% (some notes offer interest-free services), with a maximum term of 24 months. Specific limits and interest rates depend on the actual application and usage results.

On March 2, 2026, it was disclosed that Shangyin Consumer Finance also cooperates with 16 institutions for marketing and customer acquisition, jointly providing internet loans, including Ctrip Finance, Ant Financial Trust, JD Technology, Vipshop, Didi Chuxing, ByteDance, and others.

On March 9, Shangcheng Consumer Finance disclosed 19 post-loan cooperation institutions, including Chongqing Jincheng Information Technology Co., Ltd. (a related company of Ctrip Finance) and Sichuan Xincheng Technology Co., Ltd. (a related company of Didi Finance).

Shanghai Bank’s mid-2025 report shows that as of the end of the reporting period, Shangcheng Consumer Finance’s total assets were 24.914 billion yuan, a year-on-year increase of 32.6%; net assets were 2.623 billion yuan; and the loan balance was 24.422 billion yuan. In the first half of 2025, Shangcheng Consumer Finance achieved a net profit of 126 million yuan, a year-on-year increase of 26%.

In 2023 and 2024, Shangcheng Consumer Finance achieved operating revenues of 1.673 billion yuan and 1.673 billion yuan, respectively, with net profits of 229 million yuan and 241 million yuan.

Source: Kai Jia Finance

Disclaimer: This article is for informational sharing only and does not constitute any investment advice. Anyone making investment decisions based on this information does so at their own risk.