CX Daily: How to Provide Relief as Personal Debt Piles up in China

Debt /

Cover Story: How to provide relief as personal debt piles up in China

In the past two years, China has seen a surge in debt intermediaries promoting “personal debt restructuring”, with some engaging in gray-area or even illegal practices. This has led regulators to issue repeated warnings about the risks since 2023.

While the rise of these services reflects a growing demand for personal debt solutions, the absence of a personal bankruptcy law and clear regulations, resolving these personal debt remains an uphill battle in China.