Abstract: Based on A-share listed companies in China from 2009 to 2016, this paper investigates the influence of independent directors with bank background on the financing cost of business credit. It is found that the independent directors with bank background can restrain the financing cost of business credit. In addition, the appointment of independent directors in local area enhances the restraining effect above. Finally, the larger the scale of the enterprise, the stronger the restraining effect of independent directors with bank background on the financing cost of business credit.