No deposits, no ID retention, no “training loans”, no pyramid schemes, no usurious loans
Employers are not allowed to keep your ID or other documents, nor demand any deposits or payments under any pretext. Violators must return all money and face fines ranging from 500 to 2000 yuan per person. If a job placement fails, recruitment agencies must refund any fees paid. “Training loans” that require upfront payment for training, as well as pyramid schemes that pay out based on recruiting new members, are both officially flagged as scams. For private loans, any interest exceeding four times the one‑year LPR is not enforceable by courts, though the principal must still be repaid.
Zero expense. If an employer or recruiter suggests “pay fi…
Companies cannot retain your ID or other documents, cannot ask for guarantors, and cannot demand payments unde…
Zero expense. If an employer or recruiter suggests “pay first before starting work”, “pay for training before placement”, or “recruit others to earn money”, reject it on the spot. Keep chat logs and any transfer receipts. The difficulty is that when money is tight, people may feel tempted to take the risk; saying “no” right away isn’t always easy.
Companies cannot retain your ID or other documents, cannot ask for guarantors, and cannot demand payments under any name. Breaching these rules results in mandatory repayment plus fines of at least 500 yuan and up to 2000 yuan per person. Recruitment agencies likewise must return all fees if they fail to place you. Schemes that pose as job offers but require you to pay training fees or take out loans are the so‑called “job‑to‑training” or “training loan” frauds highlighted by multiple government agencies. Pyramid schemes that pay commissions based on recruiting others and require upfront payments are illegal; participants can be fined up to 2000 yuan. Interest on private loans that exceeds four times the one‑year LPR at the time of signing is not legally binding. This new rule replaced the previous three‑tier system based on 24% and 36% thresholds (nationwide, effective August 2020).
全国人大常委会 (2007). 劳动合同法（主席令第六十五号，第九、八十四条）. https://www.gov.cn/gongbao/content/2007/content_711013.htm；劳动保障部 (2007). 就业服务与就业管理规定（劳动保障部令第 28 号，第十四、五十五、五十八条）. https://www.gov.cn/zhengce/2022-11/28/content_5711307.htm；人力资源社会保障部等五部门 (2026). 警惕「招转培」「培训贷」等风险提示. https://chinajob.mohrss.gov.cn/h5/c/2026-05-18/543038.shtml；国务院 (2005). 禁止传销条例（国务院令第 444 号，第二、七、二十四条）. https://www.gov.cn/gongbao/content/2005/content_80604.htm；最高人民法院 (2020). 关于修改《关于审理民间借贷案件适用法律若干问题的规定》的决定（法释〔2020〕6 号，第二十六条）. https://www.court.gov.cn/fabu/xiangqing/249031.html；最高人民法院 (2020). 民间借贷利率司法保护上限调整为「一年期 LPR 的 4 倍」. https://www.court.gov.cn/zixun/xiangqing/249051.html
Open source linkFour times the LPR is the maximum interest rate courts will protect; it does not mean the principal can be waived. The principal must still be repaid. This judicial interpretation was amended again in December 2020, so the current article numbers apply. When money is urgently needed, people are especially vulnerable to these schemes. Instead, use the legitimate channels mentioned earlier in this section: unemployment benefits, labor‑inspection complaints, legal aid, shelters, or emergency assistance.