The People's Bank of China (“PBC”) Shanghai Head Office; all regional branches and operations offices of the PBC; all central sub-branches of the PBC in capital cities of provinces (autonomous regions) and the central sub-branch of the PBC in Shenzhen; the administrations for industry and commerce (administrations for market regulation) of all provinces, autonomous regions, municipalities directly under the Central Government, and cities under separate state planning; China Development Bank; all policy banks, state-owned commercial banks and joint-stock commercial banks; and Postal Savings Bank of China:
For the purposes of accelerating the “three-in-one license” registration system reform and regulating the administration of the payment and settlement business, in the spirit of the Notice by the State Council of Approving and Forwarding the General Plan of the National Development and Reform Commission and Other Departments for the Development of a Unified Social Credit Code System for Legal Persons and Other Organizations (No. 33 [2015], State Council) and the Opinions of the General Office of the State Council on Accelerating the Progress of the “Three-in-One License” Registration System Reform (No. 50 [2015], State Council), you are hereby notified of the following matters concerning the administration of the payment and settlement business:
I. Bank account business
1. Supporting documents provided in the transaction of RMB corporate bank account business
Banking institutions (hereinafter referred to as the “banks”) shall, in the transaction of bank account business with corporate customers, distinguish the enterprises and specialized farmers' cooperatives implementing the “three-in-one license” reform (hereinafter referred to as the “enterprises”) from the individual industrial and commercial households, government agencies, public institutions, social groups, and other organizations that have not been included in the “three-in-one license” reform (hereinafter referred to as the “other organizations”), and require them to respectively provide authentic and valid business licenses and other supporting documents.
(1) When an enterprise with a new version of business license (such as a business license bearing a unified social credit code or a business license bearing three codes or a single code as used during the transitional period of the reform) transacts any bank account business, a bank shall no longer require the enterprise to provide its tax registration certificate and organization code certificate; and if the enterprise holds an electronic business license, the bank shall, if already equipped with electronic business license identification devices, transact the business with the enterprise, and retain a photocopy of the electronic business license.
When an enterprise with an old version of business license, a tax registration certificate, and an organization code certificate transacts any bank account business during the transitional period of the reform, a bank shall still transact the business in accordance with the Measures for the Administration of RMB Current Accounts with Banks (Order No. 5 [2003], PBC) and the relevant provisions. If the old version of business license, the tax registration certificate, or the organization code certificate held by the enterprise has expired, the bank shall require the enterprise to replace them with a new version of business license at the local administration for industry and commerce before transacting the bank account business.
(2) When an individual industrial and commercial household transacts any bank account business, a bank shall require the individual industrial and commercial household to provide its business license and tax registration certificate, and its organization code certificate need not be provided.
(3) When any other organization transacts any bank account business, a bank shall still transact the business in accordance with the Measures for the Administration of RMB Current Accounts with Banks and the relevant provisions.
2. Rules for entering the relevant information into the RMB current account management system of banks
(1) When a bank enters the relevant information on an enterprise with a business license bearing a unified social credit code into the RMB current account management system of banks (hereinafter referred to as the “account management system”), the bank shall enter the 18-digit unified social credit code into the fields of “Business License for Industry and Commerce,” “Code of State Tax Registration Certificate” and “Code of Local Tax Registration Certificate,” and enter the entity identification code, that is, the 9-17th digits of the unified social credit code, into the “organization code” field.
(2) For an enterprise that uses a business license bearing three codes or a single code during the transitional period of the reform, a bank shall, according to the relevant rules of the local administrations for industry and commerce, taxation, and quality and technology supervision, divide the codes or code into the code of business license, code of tax registration certificate, and organization code, and enter them respectively into the applicable fields in the account management system.
(3) When a bank enters the relevant information on an individual industrial and commercial household that transacts any bank account business into the account management system, the bank shall enter the 15-digit registration number of the business license of the individual industrial and commercial household into the field of “Business License for Industry and Commerce,” and enter the code of tax registration certificate into the fields of “Code of State Tax Registration Certificate” and “Code of Local Tax Registration Certificate.” No entry is required for the field of “organization code.”
(4) When any other organization transacts any bank account business, a bank shall still enter the relevant elements into the account management system in accordance with the Measures for the Transaction of Business in the RMB Current Account Management System of Banks (No. 74 [2007], PBC) and the relevant provisions.
3. Modification of bank account information and account cancellation
(1) An enterprise that has opened a bank account shall, after replacing its business license with one bearing a unified social credit code, modify its bank account information in a timely manner at the bank where the account is opened. If, in routine business and annual inspection, among others, a bank discovers any inconsistency between the information in the account management system and the information on an enterprise's existing certificates and license, the bank shall, in a timely manner, notify the enterprise that it needs to modify its bank account information as soon as possible.
(2) Where, in the process of information checking for account cancellation, a bank discovers any inconsistency between the information in the account management system and the information on an enterprise's existing certificates and license, it shall, in a timely manner, require the enterprise to modify its bank account information before canceling the account.
4. Annual inspection of business bank accounts
A bank may conduct the annual inspection of business bank accounts in multiple methods including but not limited to the following:
(1) Requiring depositors to submit supporting documents for account opening.
(2) Verifying information with the public security, industry and commerce, and other administrations.
(3) Authorizing a third party professional institution to verify information.
(4) Conducting a follow-up on customers or an on-site research.
(5) Searching on the official websites of the government and its relevant functional departments.
(6) Examining supporting documents for loans.
A bank shall retain the paper or electronic records and materials generated in the annual inspection of accounts.
II. Electronic commercial draft business
1. Rules for entering organization codes in the Electronic Commercial Draft System (“ECDS”)
When an enterprise with a business license bearing a unified social credit code transacts any business in the ECDS, the entity identification code, that is, the 9-17th digits of the unified social credit code, shall be entered into the “organization code” field, but 10 digits still need to be entered according to the requirements of entry rules for organization codes in the message format standards for the ECDS, with “-” entered in the ninth digit. During the transitional period of the reform, for an enterprise that has not replaced its business license with one bearing a unified social credit code, the organization code shall still be entered according to the original business rules.
2. Rules for the ECDS interface and business inspection
The ECDS shall still regard the entity identification codes entered in the messages as the elements of business inspection of instrument holders, and match holders according to the entity identification code in the transaction of electronic commercial draft business. If a bank or a finance company applies for joining the ECDS, the PBC shall no longer examine its organization code certificate.
3. Internal ECDS adjustments
All ECDS participants shall, according to the requirements of the “three-in-one license” registration system reform, make corresponding internal ECDS adjustments, and all participants shall independently arrange for their specific adjustments. All participants may, after completing corresponding system adjustments, apply to the China National Clearing Center for joint debugging to ensure that the electronic commercial draft business is not affected. (Contact person: Wang Huan, Tel.: 010-51709609)
III. Administrative Requirements
1. Conducting system transition in an orderly and effective manner and ensuring smooth reform: The “three-in-one license” registration system reform is an important move to deepen the market access reform and boosting the commercial system reform and an important channel for simplifying administrative procedures and decentralizing powers, facilitating market access, and energizing the market. All entities shall fully comprehend the great significance of the registration system reform, make overall arrangements on continuity of work during the transitional period, reduce the impact of the “three-in-one license” registration system reform on enterprises, individual industrial and commercial households, and others, and ensure smooth reform.
The administrations for industry and commerce at all levels shall replace enterprises' certificates and licenses in an orderly and effective manner according to the relevant provisions on the transitional period of unified social credit codes. Where any of the “three certificates and license” of the enterprises expires, the administrations for industry and commerce at all levels shall, in a timely manner, replace them with a new version of business license in compliance with laws and regulations.
2. Practically fulfilling customer identification obligations and strictly implementing the legal-name account system: After the “three-in-one license” registration system reform, banks shall proactively deal with the impact of changes of certificates and licenses on the examination of customer materials, examine the authenticity, completeness, and compliance of business licenses and other supporting documents provided by customers in methods such as verification at the counter, logging on the national or regional enterprise credit information publication system to search, and on-site research, and build a reliable and effective customer identification mechanism.
3. Strengthening inter-department communication and collaboration and enhancing account supervision and administration: PBC branch offices shall strengthen collaboration with local administrations for industry and commerce, and in an orderly and effective manner, administer the business current accounts with banks within their respective jurisdictions.
The PBC and the State Administration for Industry and Commerce shall strengthen coordination and cooperation, actively promote information sharing, achieve banks' real-time search for information on the registered enterprises, and guarantee safe and reliable data for banks' orderly development of financial business.
4. Accurately understanding system reform requirements and strengthening publicity and guidance of reform: PBC branch offices shall understand the rules related to the “three-in-one license” reform, and direct banks within their respective jurisdictions to transact payment and settlement business in compliance with such rules. All banks shall proactively introduce the rules related to the “three-in-one license” registration reform to customers, remind in a timely manner customers to replace their business licenses with a new version as scheduled, proactively make their service manuals available through multiple channels, increase consultation windows and personnel, and avoid inconveniences to customers transacting payment and settlement business caused by issues involving certificates and licenses.
The administrations for industry and commerce at all levels shall, in a timely manner, conduct publicity on the “three-in-one license” registration system reform to enterprises and the general public, reinforce the interpretation of the contents of reform, and explain and respond to hot button issues in society in a timely manner, so that people from all walks of life fully comprehend and support the reform and conscientiously apply achievements made in the reform.
The PBC Shanghai Head Office, all regional branches and operations offices of the PBC, all central sub-branches of the PBC in capital cities of provinces (autonomous regions), and the central sub-branch of the PBC in Shenzhen shall forward this Notice to PBC branch offices, urban commercial banks, rural commercial banks, rural cooperative banks, rural credit cooperatives, village banks, foreign-funded banks, and finance companies within their respective jurisdictions; and the administrations for industry and commerce (administrations for market regulation) of all provinces, autonomous regions, municipalities directly under the Central Government, and cities under separate state planning shall forward this Notice to all administrations for industry and commerce level by level within their respective jurisdictions.
The People's Bank of China
The State Administration for Industry and Commerce
December 28, 2015
