7. PREPAYMENTS, OTHER RECEIVABLES AND OTHER ASSETS

As of September 30, 2020 and March 31, 2020, the prepayments, receivables and other assets were comprised of the following:


	September 30, 2020		March 31, 2020
	(Unaudited)
Receivables from borrowers of online lending platform, net (i)	$	587,250	$	811,504
Due from automobile purchasers, net (ii)		1,048,126		1,385,352
Prepayments for automobiles (iii)		86,481		365,932
Deposits (iv)		523,245		489,638
Value added tax ("VAT") recoverable		103,582		146,964
Prepaid expenses (v)		978,839		331,319
Employee advances		14,065		11,937
Investment prepayment (vi)		73,629		—
Others		7,452		72,575
Total prepayments, receivables and other assets		3,422,669		3,615,221
Total prepayments, receivables and other assets - discontinued operations		(588,068)		(816,441)
Total prepayments, receivables and other assets - continuing operations	$	2,834,601	$	2,798,780

(i) Receivables from borrowers of online lending platform, net

The balance of receivables from borrowers of online lending platform represented the outstanding loans the Company assumed from investors on the platform, which will be collected from related borrowers. As of September 30, 2020 and March 31, 2020, the Company recorded allowance of $3,731,934 and $3,688,800, respectively, against doubtful receivables.

(ii) Due from automobile purchasers, net

The balance due from automobile purchasers represented the payment of automobiles and related insurances and taxes made on behalf of the automobile purchasers. The balance is expected to be collected from the automobile purchasers in installments. As of September 30, 2020 and March 31, 2020, the Company recorded allowance of $261,330 and $347,954, respectively, against doubtful receivables. During the six months ended September 30, 2020 and 2019, the Company wrote off balance due from automobile purchasers of $159,149 and $0, respectively.

(iii) Prepayments for automobiles

The balance represented amounts advanced to dealers for automobiles and to other third parties for automobiles related taxes and insurances.

(iv) Deposits

The balance of deposits mainly represented the security deposit made by the company to various financial institutions and Didi, the online ride-hailing platform.

(v) Prepaid expense

The balance of prepaid expense represented automobile liability insurance premium and other miscellaneous expense such as office lease, office remodel expense and etc. that will expire within one year.

(vi) Investment prepayment

The balance of RMB500,000 (approximately $74,000) represented the initial investment made from Sichuan Senmiao to XXTX.