Human-centered and Credit in Historical Experience— Based on the Old-style Chinese Private Banks with the Credit Loan in Modern Times

The financial supporting for private Modern Chinese Commerce business was based on the traditional commercial credit loans running by old-style Chinese private banks. This credit businesses from these banks were on a human-centered credit mechanism. But this was not mean arbitrarily, sensibility and irrational. These banks were controlled the risk of credit businesses by diligent inquiring, cautious on the business situation, strictly regulate and the limitations from industry organizations, these were also the foundation for the prosperity of the old-style Chinese private banks industry from the late 19th century to the 1930s. The differences and contradictions between modern banks and old-style Chinese private banks were the different historical experiences which was focused “people” or “capital” in the financial industry. The only-one modern value in economic practice was popular in the 19th to 20th centuries, which was the reason why the misunderstand and ignore was happened to the traditional experience as the old-style Chinese private banks industry. This also means the difficulty and complexity of China’s modern economic transformation.