China Consumers Association Advises Seven Bike-Sharing Companies to Adopt Deposit-Free Policy
Dou Shicong
DATE:  Dec 05 2017
/ SOURCE:  Yicai
China Consumers Association Advises Seven Bike-Sharing Companies to Adopt Deposit-Free Policy China Consumers Association Advises Seven Bike-Sharing Companies to Adopt Deposit-Free Policy

(Yicai Global) Dec. 5 -- The China Consumers Association (CCA) today summoned representatives of seven bike-sharing companies, including the sector giants Mobike Technology Co. and Beijing Bikelock Technology Co, often referred to as Ofo, to ask them to adopt a deposit-free policy for users.

The association, which monitors goods and services to protect consumer rights and interests, held a meeting in Beijing today to discuss complaints and suggestions from the shared-bike service users who failed to receive their deposits from financially struggling companies, thepaper.cn reported.  

The association hopes bike-sharing companies to provide rental services without charging deposits. The firms that charge deposits should manage them in a safe and transparent manner to ensure consumers' deposit security and refunds.

Bike-sharing firms can do a credit check on users to identify creditworthy customers to offer deposit-free services, the association suggested. The companies that charge deposits generally keep them in banks for management.

However, bike-sharing companies will consult with regulators, such as People's Bank of China (PBOC), the central bank, and China Banking Regulatory Commission (CBRC), more often to receive regular guidance and oversight to ensure consumers' deposit security, said a representative of a bike-sharing company after the meeting.

The CCA also asked the companies to improve their bike deployment and maintain public order and information security.

Follow Yicai Global on
Keywords:   China Consumers Association,Mobike,OFO,Deposit