1. What is Qifang?
Qifang is an open platform and online community with the singular purpose of giving everyone a way to pay for their education. Leveraging the latest in web and community technologies, Qifang efficiently brokers data and relationships through a transparent platform built on trust to connect and assist everyone involved in education finance. Qifang is committed to maximize social benefits through a sustainable business model.
2. How does Qifang help?
Schools use Qifang as an information administration tool to manage their student loan data and processes. Schools lower their administrative costs, increase efficiency and can re-focus on being a resource to their students.
Students use Qifang to find alternative funding sources, learn about how to put credit to work for them, find communities, information and other resources.
Companies use Qifang to administer training programs and tuition benefit programs, manage the cash flow required for training investments, build relationships with young talent and schools and give back to their communities as a part of corporate social responsibility.
Philanthropic institutions and individuals use Qifang to improve their giving, diversify their investments into assets with social impact, increase transparency and strengthen the relationships between donor and client.
3. Who can use Qifang?
Qifang’s goal is to serve all facets of education finance. Currently, Qifang focuses on students at Chinese 3 or 4-year universities or colleges and post-graduate training programs and their tuition needs. Any Chinese undergraduate who has received an admission letter or valid student ID can post their needs at Qifang. Lenders are banks, companies, non-government organization, non-profit organizations, philanthropists and individuals seeking investment returns. Of course, Qifang is an open community that welcomes the participation and support of other users such as teachers, social volunteers and professionals who share in our mission.
In the future, and in strict adherence to relevant national laws and regulations, Qifang will support other education types and other education related expenses with funding from a broad array of sources.
4. What types of loans are available? Do schools guarantee the loans?
Loans range in principle from RMB 3,000 to 100,000. Specific terms are all defined by the student’s needs. Borrowers and lenders agree to loan terms independently and voluntarily in accordance with all applicable national laws and regulations.
Schools participate in the verification and management of student information but have no loan liability. Qifang partners with the student, school, and lender with an integrated strategy to support students in building credit history, learning how to borrow and repay their loans, and other aspects of their financial literacy.
5. How does Qifang help manage loan default risk?
Qifang is a partner to the borrower and lender communities in reaching their financial, educational and social goals. Qifang works closely with students and schools to teach borrowers about the power of credit and the long-term benefits of having a good credit history. Qifang also encourages community participation in the student loan—everyone from parents, classmates, teachers and more.
Qifang further addresses loan repayment risk with an integrated, holistic strategy that does not wait until a loan is in default. Utilizing our technology platform to address default aversion, prevention and recovery, Qifang works diligently with borrowers and lenders whether the loan is in good standing, in arrears or in need of rehabilitation.
6. Do private student loans conform to Chinese law and regulations?
In China, loans between natural persons have been ruled to be legal within restrictions that prevent fraud and usurious interest rates. Loans that include an institutional counterparty can be facilitated in cooperation utilizing partner bank products and services and their lending licensing.
Qifang provides the secure and robust platform to make this kind of private lending more standard, more secure and more efficient, in order to support more people in their educational goals.
Qifang does not accept fund deposits or directly participate in loans.
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