Core Viewpoint - The rapid growth of electronic payment services in China has led to the establishment of a comprehensive regulatory framework aimed at protecting user rights and ensuring the healthy development of the industry. Group 1: Responsibility in Electronic Payments - In cases of unauthorized or erroneous electronic payments, the payment service provider is responsible for losses if the user is not at fault. If the user is at fault, such as through password leakage, they bear the loss [1] - Payment institutions must ensure proper authorization verification for transactions, including password and verification code checks, and must adhere to transaction limits to mitigate risks [2] Group 2: Modifying or Revoking Payment Instructions - Users can modify or revoke payment instructions for "ordinary" or "next-day" transactions before the funds are credited. However, for "real-time" transactions, direct revocation is not possible, but service providers must prompt users to confirm the accuracy of their instructions [3][4] Group 3: Dispute Resolution with Service Providers - Users have a sufficient time window to raise disputes, as transaction records must be retained for at least 10 years. Service providers are obligated to respond promptly to complaints and keep users informed of the progress [5][6] - The regulatory framework mandates that electronic payment service providers establish a non-litigious third-party dispute resolution mechanism and provide clear channels for users to file complaints [7]

Core Viewpoint - The China Payment and Clearing Association has issued an initiative to promote the healthy and standardized development of the mobile payment market, emphasizing fair competition and consumer protection [1][2]. Group 1: Four Aspects of the Initiative - Encourage payment innovation by urging market participants to increase investment in innovation while complying with laws and regulations, optimizing mobile payment products and services to better meet consumer and merchant needs [3]. - Maintain fair competition by adhering to the Anti-Unfair Competition Law and promoting equal cooperation among market participants, avoiding practices that restrict the display of other legitimate payment products [3]. - Promote interoperability by encouraging market participants to engage in barcode payment interoperability and to open up acceptance networks and various scenarios, contributing to a unified domestic market [3]. - Strengthen risk prevention by utilizing technologies such as big data and artificial intelligence to enhance risk management and prevent illegal transactions [4]. Group 2: Development of Electronic Payment Regulation - The electronic payment sector in China has seen significant growth, with regulatory policies continuously optimized to support market operation, meet public needs, and assist the real economy [5]. - A comprehensive regulatory framework for electronic payment has been established, covering service providers, accounts, payment tools, and central bank payment systems [5]. - The regulatory system focuses on external audits, internal controls, and risk management, including anti-money laundering, data protection, and operational risk management [6].

Group 1 - The China Payment and Clearing Association has released a Q&A regarding the effectiveness of electronic payment regulation in China, highlighting the ability for payers to modify or revoke payment instructions under certain conditions [1] - With the rise of mobile payments, customers can initiate payment instructions online with options for real-time or delayed processing, and regulations require banks to offer various transfer methods [2] - The Electronic Commerce Law states that losses from unauthorized payments are to be borne by electronic payment service providers unless the provider can prove user fault, shifting responsibility to the user [3] Group 2 - Payment service providers must enhance authorization verification for electronic payment transactions and assist users in identifying the causes of unauthorized transactions [3] - Regulations mandate that payment service providers take corrective actions if payment instructions are not executed properly due to their own system or internal control issues [3] - The management of transaction limits for personal customers using payment account balances is enforced under the Non-Bank Payment Institution Network Payment Business Management Measures [3]

Core Viewpoint - The article discusses the effectiveness of electronic payment regulation in China, emphasizing the protection of user funds and the implementation of risk management measures by financial institutions [1][2]. Group 1: Regulatory Framework - The legal framework in China, including the Commercial Bank Law and the Payment Settlement Measures, ensures that users can freely deposit and withdraw their funds [1]. - The Non-Bank Payment Institution Supervision Regulation prohibits payment institutions from misusing or occupying reserve funds [1]. Group 2: Risk Management Measures - To mitigate liquidity risks and ensure customer fund safety, the regulatory system has detailed limit management based on risk levels and transaction types [2]. - The Electronic Payment Guidelines require banks to impose reasonable limits on electronic payment types, single transaction amounts, and daily cumulative payment amounts based on prudential principles [2]. - The Bar Code Payment Business Specification mandates banks and payment institutions to manage payment limits according to the risk tolerance of customers [2].