Shanghai Entrepreneurs Can Get A Guaranteed Loan Of 70 Thousand Yuan.

The reporter learned from the Shanghai labor and social security bureau that since June 1st, the loan guarantee amount in Shanghai has increased from 50 thousand to 70 thousand, which means that Shanghai's independent entrepreneurs apply to the bank for loans less than 70 thousand yuan. They will be exempt from personal guarantees and enjoy interest payments on loans.

The loan guarantee system is a system to promote unemployed people to start business in Shanghai. It refers to the unemployed persons in Shanghai, the cooperative personnel in the rural areas, and those who are willing to work in the rural rich labor force. When applying for business loans to the banks, Shanghai promotes the employment special fund to provide credit guarantee and personal exempt from guarantee.

Since the implementation of the system in August 2000, it has secured more than 1100 loan guarantees, amounting to nearly 80 million yuan.

After the new system comes into force in June 1st this year, the ceiling of the loan guarantee amount in Shanghai will increase to 70 thousand yuan.

Individuals with loans ranging from 70 thousand to 100 thousand yuan need to provide an effective guarantee of not less than 10% of loans. Individuals with loans above 100 thousand yuan need to provide an effective guarantee of not less than 20% of the loan.

Shanghai labor and Social Security Bureau also launched the interest discount policy for the first time after the repayment of principal and interest.

The policy stipulates that a loan secured by a special employment fund shall be applied to the opening loan, and the borrower will repay the principal and interest on time. He may apply for the loan discount of the starting business within three months after the repayment of principal and interest.

The discount rate is calculated according to the net increase of employment positions, with a net increase of one job position for more than six months, and the maximum interest subsidy can be obtained at 2000 yuan per year.

The staff of the Shanghai municipal labor and Social Security Bureau have counted the accounts for the journalists. If someone now makes a loan of 100 thousand yuan to the bank, they only need to recruit 3 new unemployed, CO insurance personnel or rich rural labor force for more than half a year, so that they can enjoy the full interest subsidy for one year.

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