What is going on with underground banks?

Underground banks are a special type of illegal financial organization. Underground banks are illegal financial institutions that operate outside the financial regulatory system and use or partially use the fund settlement network of financial institutions to engage in illegal financial services such as illegal foreign exchange transactions, cross-border fund transfers, or fund deposits and loans.

As illegal intermediaries for financial services, the usual operating method of underground banks is that exchangers hand over RMB to underground banks within the country, and underground banks transfer the foreign exchange to the exchangers’ offices through overseas partners. Designated overseas account. Now, underground banks have evolved into tools for laundering illegal income, and have become an important channel for rampant capital flight in coastal areas.

Why do some people use banks? Comparatively, banks have disadvantages such as a large gap in buying/selling exchange rates and poor customer privacy protection. Bank Advantage attracts some users with its simplicity and flexibility. However, most banks are run by individuals without a standardized structure and are prone to errors. Compared with banks, Kuboland has attracted many customers with more competitive exchange rates and loose quotas. For individual customers, the foreign account will be credited within fifteen minutes after the remittance is made in China, and for corporate customers, the amount will be determined based on the amount. If you choose door-to-door service, the staff will complete the remittance process face-to-face with the customer until the foreign receiving account is credited. Non-door-to-door service, the money will arrive within fifteen minutes after completing the electronic remittance process. When it comes to customer privacy, Kuboland has also gone to the extreme, encrypting all customer information so that employees within the company cannot access customer information without electronic keys. In accordance with the most complete customer confidentiality system, customers can choose to completely and irreversibly delete all completed transaction records and customer information from the database after the transaction is completed. The company cannot recover completely deleted information. The process of remittance transactions adopts encrypted transaction methods instead of traditional linear transactions or peer-to-peer transaction models.