Core Viewpoint - The implementation of the new regulations on internet lending by the National Financial Regulatory Administration is leading to a significant transformation in the lending industry, focusing on enhancing transparency in fee disclosures while simultaneously tightening cooperation with lending partners [1][6]. Group 1: Fee Disclosure Enhancements - The new regulations require mandatory disclosure of fees categorized into "certain fees" and "contingent fees," aiming to increase transparency and prevent hidden costs [1][2]. - Seven leading platforms, including Ant Group and Meituan, have initiated trials for the new fee disclosure system, which includes clear labeling of interest rates, guarantee fees, and potential fees for late payments or early repayments [2][3]. - The regulations aim to protect consumers from hidden costs and ensure that the total financing costs are clearly communicated, thereby enhancing consumer rights [2][4]. Group 2: Reduction in Lending Partnerships - Since the implementation of the new regulations, many small and medium-sized banks have begun to withdraw from lending partnerships, reflecting a shift towards risk aversion [6][7]. - For instance, Longjiang Bank and Urumqi Bank have announced the cessation of their cooperation with various lending platforms, indicating a broader trend of reducing lending partnerships across the industry [6][7]. - This reduction in partnerships is seen as a response to the new regulatory environment, which imposes stricter capital management requirements on banks [6][7]. Group 3: Operational Adjustments by Lending Platforms - Lending platforms are adjusting their operational strategies in response to the new regulations, tightening risk control standards [7]. - Companies like Qifu Technology and Xinye Technology reported a rare decline in net profits in the third quarter, indicating the financial impact of the regulatory changes [7]. - The tightening of risk standards is expected to lead to fluctuations in overall risk levels until the loan structures adapt to the new regulatory framework [7].