1. After receiving the loan, the Borrower (Party shall issue a receipt. The IOU issued by Party B shall be attached to this Small Loan Agreement and shall have the same legal effect as this Agreement.
2. Party A shall transfer the loan amount to Party B's account by bank transfer. No handling fee will be charged for early repayment after three months.
3. After passing the system review, Party B must transfer a 1.5% verification deposit into their own repayment wallet to activate the channel. Once verified, the loan principal, along with these verification funds, will be disbursed to Party B's designated account together.
4. The Borrower shall not use the loan for illegal activities. Otherwise, Party A has the right to require Party B to immediately repay the principal and interest, and Party B shall bear the resulting legal consequences.
5. The Borrower must repay the principal and interest in accordance with the terms of the contract. In case of refusal to repay the loan, Party A has the right to recover the loan within a certain period and charge a daily late fee based on the total loan amount.
6. After system review, if the loan fails due to forged identification documents, fake bank cards, low personal credit score, or other related reasons, the system will automatically determine that there is suspected loan fraud. The borrower must actively cooperate with Party A in completing the compliance procedures. As the primary legal procedure for review cooperation and eliminating suspicion, the borrower must, within the specified period, pre-deposit verfication funds equivalent to 5% of the total loan amount into the designated account until the loan disbursement standards required by the system are met, in order to ensure the smooth release of the loan funds.
7. Any disputes arising from the performance of this contract shall be resolved through friendly negotiation between both parties or through third-party mediation. If negotiation or mediation fails, a lawsuit may be filed with the People's Court in the location of Party A in accordance with the law.
8. This Agreement becomes effective upon signature by all parties, including electronic signatures, and has equal legal effect. Once signed, it is legally binding. Any breach or default by either party shall result in liability for liquidated damages equal to 50% of the total loan amount, in addition to any other legal remedies available.