Access free Credit ReportFree access to credit information
You will also need to access the register when a customer or company applies for a EUR 2,000 credit in order to check their credit worthiness. Phase 1 (consumer credit) is due for publication on 31 December 2017. Consumers credit - what do creditors have to do? Creditors who are not either public officials or money masters must:
Send to the central bank by 31 December 2017 each month a report on consumers' individual and credit information, including credit card information, mortgage information, overdrafts as well as individual credit information. Creditors started sending credit information to the register on 30 June 2017. Request only access to credit information for the purpose specified by law.
What is crucial is that the law does not expressly allow creditors to use the register when they decide whether they want to claim a liability against a customer. Make sure that you do not violate any secrecy or privacy legislation when collecting and transmitting this information to the Central Bank. Updating this information when changes occur and report to the central bank on redemption performances by customers.
Payment of a charge to cover the costs of keeping the register. This register contains an "individual borrower view" of all credit agreements/applications related to a single borrower, i.e. an outline of all debt incurred by the borrower towards different creditors. Consumers can use these once a year free of charge.
Every access proposal is stored in a credit report. It will also connect persons where one is acting as surety for another and will contain credit ratings that quantify the consumer's exposure to credit risks. The credit information may be kept for five years after the conclusion of the credit. The information relating to the credit claim may be kept for six-month periods.
In the credit report, users may include a brief declaration if they consider that the data recorded in the register are worth explaining. It is the duty of creditors for them to report any alleged counterfeiting to the creditor. In turn, the creditor must report the same suspicions to the customer. As soon as the register is fully established, creditors are required to consultation the register before granting loans exceeding EUR 2,000.
Implementation of the second stage of the register, which will start on 31 March 2018, will concentrate on corporate loans. This register will alleviate the need for creditors to have recourse to private credit rating institutions when making credit decisions. It is important that not only creditors who are subject to regulation have to report to the register, but also all creditors.
Unregulated credit institutions are companies such as NAMA and municipalities. Creditors must make sure that they provide the right information to the central bank, access the register for the right reason, inform the consumer of their legal right and prepare for Phase 2, which starts in 2018.