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Online Loan Link

I. Description
Online loan link is an online Loan Link, which the ICBC and corporate customers sign once for all. Within the validity period of the contract, the customers can withdraw or repay the loans via Internet Banking, as agreed in the contract. Committed online loan link is automatically processed by the system and funds are credited to the account in real time.

II. Target Customers
SMEs and individual business owners that have valid collateral.

III. Distinctive Advantages
1. Withdrawal guarantee: For Committed Online Loan Link, the amount under the limit can be withdrawn anytime within the contract period.
2. Flexible: The contract is signed at one time, valid for one year, the customer can borrow and repay anytime and use the loans revolvingly;
3. Easy procedures: All the procedures are handled online, thus saving the trouble of going to bank;
4. Highly efficient self-service: Borrow and repay the loans via Internet Banking, and the amount credited into account in real time;
5. Reduce cost: No interest is accrued to unused credit line, and the loans can be repaid in advance, thus relieving financial burden;
6. High credit line: Up to RMB50 million.

IV. Requirements
1. Meet the basic application conditions stated in the ICBC Administrative Measures on Corporate Credit;
2. The borrower's ICBC credit rating is or A-(inclusive) or above;
3. The borrower is a certificate customer of the ICBC Corporate Internet Banking and has activated the relevant authorities;
4. The borrower can provide full-value and valid real estate collateral or low-risk pledge to secure the loans, and sign with the ICBC a guarantee contract of highest amount.

V. Application Process
Apply at the ICBC outlets or via Internet Banking.

VI. Service Channels and Hours
Services are available around-the-clock via Internet Banking or during banking hours at the ICBC outlets.

VII. Operation Guide

How is Online Loan Link different from general corporate loans?
Comparison with General Corporate Loans

Online Loan Link General Corporate Loans
Access requirements Guarantee options Real estate collateral, pledge of financial assets or low-risk pledge, and credit (applicable for medium-sized enterprises only) Mortgage and pledge, credit and guarantee
Period Limit Fee Longest period Contract period: 1 year,contract period for one loan: 1 year One year in general, 3 years at maximum, loans longer than 1 year must be borrowed in full amount and repaid by installment
Loan period 7 days - 1 year, self-defined within the validity period of the contract, flexible Determined at the time of borrowing
Limit Under RMB50 million, self-defined within the contract amount, flexible Under RMB30 million, determined at the time of borrowing
Interest Interest is calculated based on the actual loan amount and loan period to reduce cost Interest is calculated based on the loan amount and loan period
Withdrawal and repayment Options Revolving, borrow and repay anytime Non-revolving, one-time withdrawal, no lending after loan is repaid
Channel Online, self-service, anytime, anywhere, highly efficient, convenient Customer manager, bank outlet
Banking hours Round-the-clock (except during batch processing at the ICBC or system upgrade) Banking hours
Processing Real time Depending on the internal progress of the bank
Control over loan size Loan size guarantee Withdrawal is guaranteed for Committed Online Loan Link Suspend lending if no size is available

IX. Definitions
Online Loan Link can be "committed" or "conditional", depending on how the loan amount is allocated.
Committed Online Loan Link refers to the loan service that ICBC commits to allow borrower to "borrow anytime, repay anytime", provided that the borrower meets the withdrawal conditions stated in the contract. The lending branch can decide whether to meet the customer's loan withdrawal need at the end of the month according to the allocation of credit funds.
Conditional Online Loan Link refers to the loan service whereby the ICBC, after signing the contract with the borrower, fulfills the withdrawal amount requested by the borrower within the revolving limit on the condition that the amount is available.

X. Case Study
Online Loan Link brings new experience and quality loan services to all companies

Case I: Save manpower, highly efficient, fast and convenient
A Zhejiang company engaged in trading of agricultural chemicals and production of packaging containers has been very successful for the past 10 years in selling to domestic market. The company is looking for expanding into South American market, exporting agricultural chemicals to Paraguay and Brazil. To open new market, even the wife of the chief financial officer of the company joins her husband to travel abroad and is "always on the road". As a result, the husband-and-wife team is hammered by the little time left for the office work. At this moment a friend introduces them ICBC's new service of Online Loan Link - sign contract at one time, borrow and repay anytime, anywhere within two years, with simple procedures. "Can I control the loan borrowed by the company at home while I am in the southern hemisphere of the world?" With this question in mind, the customer contacted the local ICBC branch and submitted the application.
The customer manager of the local ICBC branch immediately called to meet the customer once the application reached the branch. Later in the meeting, the ICBC customer manager found out that this little company has stable operations, full-value and reliable collateral. New South American market for the agricultural chemicals has been opened. The prospect of working with the customer is good. On the same day, the ICBC customer service team reviewed the documents and agreed the loan to the customer. Shortly after the customer manager finish the steps, the customer pressed the "Draw Loan" on the Corporate Banking's loan interface. RMB10 million of loan was credited into customer's account in seconds.
The loan gives this company a chance to enjoy the brand new experience of the ICBC online finance service. Loan is so easy to apply for that more time and effort can be left for opening new markets. The company now agrees to let the ICBC handle all the settlement for the export. In 2009, the company generated a FX income of USD5 million and another USD18 million of orders were already secured in 2010.

Case II: Loan withdrawal guaranteed, peace of mind
A company in Zhejiang selling digital products primarily engages in the retail and wholesale of digital electronic products, computers, software, auxiliary devices and communication devices and has established a name in the local market. The company goes through distress because of the fierce competition from the large chain stores like Suning, Guomei and Hisap. In view of this, the company uses low prices as a move to create new profit margin. Cash is urgently needed for the procurement of electronic products in bulk during the peak seasons of the year like May Day holiday, National Day holiday and Chinese Lunar New Year. Tight cash stops the company to stock goods for sale. Besides, the company always bids the procurement tenders from the government departments or public organizations. Because of the uncertainty in tendering, this poses risks and questions on the income source and put a serious crimp in the cash flow of the company. Too much capital occupied could affect the procurement for retail sales. Too many successful bids could cause difficulty in raising advance funds for the tenders. The former case will affect the profitability of the company, while the latter can leave the credibility of the company in tatters and affect the company growth.
After a review by the ICBC, the bank considered the company is in an industry of very fierce competition. But the company has taken all the countermeasures and its operations are smooth. The capital needed for routine sales is occasional while the capital required for the tender projects is uncertain. When the manager of the company came to the ICBC for liquidity loan, the ICBC customer seized the opportunity to introduce "Online Loan Link" service and reiterated the advantages: the loan amount is guaranteed within the period and credit line after the loan is approved, you can borrow and repay anytime to save financial cost. After comparison with similar products of other banks, the manager of the company immediately made the decision and applied for a loan of RMB5 million.
The reason to use "Online Loan Link" is the availability of funds in a "short, frequent, fast" manner and less cost, said the manager of the company. Loan can be applied for, withdrawn or repaid online without going to the bank, anytime, anywhere, with no restriction on where and when. There is no need to ask for favor from anybody. Loan amount is guaranteed. "Online Loan Link" is a service for small enterprises looking for funds.
Note: Information herein is for reference only. Refer to the announcements and regulations of local branches for further details. The ICBC reserves the final right of interpretation.

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