China Toughens Credit Card Laws

Financial regulators in China plan to crack down on credit card-related crimes, the People’s Bank of China, the country’s central bank, announced Tuesday on its Web site. The central bank plans to work with associated agencies to remove print and Web advertisements authorities judge offer false information about credit cards. The bank did not offer more details. People’s Bank also plans to work over the next year with the Ministry of Public Safety to fight card fraud, and it plans to increase efforts to educate consumers about how to use cards. People’s Bank announced its plans after China's Supreme People's Court and the Supreme People's Procuratorate, a prosecutorial and investigative agency, announced a judicial interpretation this week that clarifies several laws concerning credit card fraud. Under a legal document scheduled to go into force Wednesday, card fraudsters could face at least 10 years in prison or even life imprisonment and fines of up to 500,000 yuan (US$73,200 or 50,500 euros) in cases that involve more than 25 counterfeit credit cards. China also could press charges against cardholders who intentionally delay credit card repayments for at least three months after an issuer sends a second notice.