The primitive financial institutions of China originated several hundred years ago. But, during the last hundred years, the social and economical conditions have changed tremendously under the influence of Western civilization, the organization of the markets became more intricated, and these financial institutions were insufficient to meet the various needs; so the modern banks came up instead. The financial resources of North China are concentrating in Peking and Tientsin, the business opportunities have consequently developed in these two places and the money market is very active. A native bank may operate the enterprise on a large scale with only a small amount of capital, and that native banks may help mutually. On the other hand, due to the simple procedure of loans without securities, the transactions are more easily concluded. The procedure of native banking operations is adapted to the customs of Chinese business fields.